StockSelector.com
  Research, Select, & Monitor Thursday, October 19, 2017 7:50:02 PM ET  
Trade Ideas The Market Industries Stocks Portfolio

 
Ticker Lookup
Equity Residential$66.06($.66)(.99%)

  Quote | Ranking | Chart | Valuations | Sentiment | Industry | News | Earnings | Analysts | More...

Your Target?

 Equity Residential Reports Full Year 2014 Results
   Tuesday, February 03, 2015 4:48:16 PM ET

--2015 Normalized FFO Per Share Expected to Increase 7.3%

--2015 Common Share Dividend Expected to Increase 10.5%

Equity Residential (EQR ) today reported results for the quarter and year ended December 31, 2014. All per share results are reported as available to common shares on a diluted basis.

"2014 was another exceptional year for Equity Residential in which we delivered year over year growth in Normalized FFO per share of more than 11%, among the best years in our history," said David J. Neithercut, Equity Residential’s President and CEO. "Improving labor markets, robust household formation and declining single family home ownership levels will keep demand for rental housing high and produce above trend growth for many years to come."



Fourth Quarter 2014

FFO (Funds from Operations), as defined by the National Association of Real Estate Investment Trusts (NAREIT), for the fourth quarter of 2014 was $0.87 per share compared to $0.67 per share in the fourth quarter of 2013. The difference is due primarily to higher prepayment penalties incurred in the fourth quarter of 2013 and the items described below.

For the fourth quarter of 2014, the company reported Normalized FFO of $0.86 per share compared to $0.77 per share in the same period of 2013. The following items impacted Normalized FFO per share in the quarter:

-- a positive impact of approximately $0.07 per share from higher same store net operating income (NOI) and approximately $0.02 per share from NOI from non-same store properties currently in lease-up;

-- a positive impact of approximately $0.01 per share from lower G&A expenses; and

-- a negative impact of approximately $0.01 per share due to dilution from the timing of the company’s 2014 transaction activity.

Normalized FFO begins with FFO and eliminates certain items that by their nature are not comparable from period to period or that tend to obscure the company’s actual operating performance. Reconciliations and definitions of FFO and Normalized FFO are provided on pages 6 and 28 of this release and the company has included guidance for Normalized FFO on page 27 and FFO on page 28 of this release.

For the fourth quarter of 2014, the company reported earnings of $0.59 per share compared to $0.30 per share in the fourth quarter of 2013. The difference is due primarily to higher gains on property sales in the fourth quarter of 2014, higher prepayment penalties incurred in the fourth quarter of 2013 and the items described above.

Year Ended December 31, 2014

FFO for the year ended December 31, 2014 was $3.15 per share compared to $2.35 per share in the same period of 2013. The difference is due primarily to higher acquisition expenses and prepayment penalties incurred during 2013 and improved operations during 2014.

For the year ended December 31, 2014, the company reported Normalized FFO of $3.17 per share compared to $2.85 per share in the same period of 2013.

For the year ended December 31, 2014, the company reported earnings of $1.73 per share compared to $5.16 per share in the same period of 2013. The difference is due primarily to higher gains on property sales during 2013, partially offset by higher depreciation expense, acquisition expenses and prepayment penalties incurred during 2013 and improved operations during 2014.

Same Store Results

The company’s same store results for all periods include the stabilized apartment units acquired in the Archstone acquisition that are owned and managed by the company.

On a same store fourth quarter to fourth quarter comparison, which includes 98,421 apartment units, revenues increased 4.9%, expenses increased 2.2% and NOI increased 6.3%.

On a same store year to year comparison, which includes 97,911 apartment units, revenues increased 4.3%, expenses increased 1.8% and NOI increased 5.6%.

Investment Activity

The company acquired two properties during the fourth quarter, both in Seattle, with a total of 273 apartment units for an aggregate purchase price of approximately $94.2 million at a weighted average capitalization (cap) rate of 4.8%. Also during the quarter, the company acquired its joint venture partner’s 95% interest in Parc on Powell, a 176-unit apartment property currently under development in Emeryville, a suburb of San Francisco, for a stabilized value of $87.5 million. The company acquired its original 5% interest in the property as part of the Archstone acquisition. The project is expected to stabilize in the second year of full ownership at a 4.8% yield on cost.

During the fourth quarter, the company sold six consolidated apartment properties, consisting of 1,775 apartment units, for an aggregate sale price of approximately $269.9 million at a weighted average cap rate of 5.9%. These sales generated an unlevered internal rate of return (IRR), inclusive of management costs, of 6.5%. Also during the quarter, the company sold for approximately $62.5 million an unconsolidated 388-unit apartment property located in Phoenix, in which it had an 85% interest acquired as part of the Archstone transaction. In addition, the company sold a land parcel located in Los Angeles for a sale price of $32.1 million during the quarter.

During 2014, the company acquired six properties, consisting of 1,353 apartment units, for an aggregate purchase price of approximately $469.8 million and a weighted average cap rate of 4.9%. In addition, the company acquired two land parcels for an aggregate purchase price of approximately $28.8 million as well as the Parc on Powell transaction described above.

During 2014, the company sold 10 consolidated apartment properties, consisting of 3,092 apartment units, for an aggregate sale price of approximately $467.0 million at a weighted average cap rate of 6.1%. These sales generated an unlevered IRR, inclusive of management costs, of 8.9%. The company also sold three land parcels for an aggregate sale price of $62.6 million during 2014. In addition, the company sold the unconsolidated asset in Phoenix described above.

Revised Executive Compensation Program

In response to input from its shareholders, the company has revised its executive compensation program beginning in 2015. The long term incentive portion of the revised program will be performance based and determined by the company’s absolute and relative total shareholder return over the three year performance period ending December 31, 2017. Accounting rules require the company to expense in 2015 a portion of both the previous program’s time based equity grants for service in 2014 and the performance based grants issued under the revised plan creating a duplicative charge of approximately $11.0 million. This charge will not be included in the company’s Normalized FFO in 2015.

First Quarter 2015 Guidance

The company has established a Normalized FFO guidance range of $0.77 to $0.81 per share for the first quarter of 2015. The difference between the company’s fourth quarter 2014 Normalized FFO of $0.86 per share and the midpoint of the first quarter 2015 guidance range of $0.79 per share is due primarily to:

-- a negative impact of approximately $0.05 per share from lower NOI primarily as a result of higher operating expenses in the first quarter of 2015; and

-- a negative impact of approximately $0.02 per share from other items.

Full Year 2015 Guidance

The company has established a Normalized FFO guidance range of $3.35 to $3.45 per share for the full year 2015. The assumptions underlying this guidance can be found on page 27 of this release. The difference between the company’s full-year 2014 Normalized FFO of $3.17 per share and the midpoint of the full year 2015 guidance range of $3.40 per share is primarily due to:

-- a positive impact of approximately $0.21 per share from higher NOI from same store properties;

-- a positive impact of approximately $0.05 per share from non-same store properties, including properties in lease-up;

-- a negative impact of approximately $0.04 per share from the timing of the company’s 2014 and 2015 transaction activity;

-- a positive impact of approximately $0.03 per share from lower interest expense; and

-- a negative impact of approximately $0.02 per share from other items.

2015 Common Share Dividend

As previously announced, the company’s dividend policy is to pay 65% of the midpoint of the range of Normalized FFO guidance customarily provided as part of the company’s fourth quarter earnings release. Based on the guidance above, the company expects to pay four quarterly dividends of $0.5525 per share for an annual dividend of $2.21 per share in 2015, which represents a 10.5% increase over the 2014 dividend. All future dividends remain subject to the discretion of the company’s Board of Trustees.

First Quarter 2015 Earnings and Conference Call

Equity Residential expects to announce first quarter 2015 results on Tuesday, April 28, 2015 and host a conference call to discuss those results at 10:00 a.m. CT on Wednesday, April 29, 2015.

Equity Residential is an S&P 500 company focused on the acquisition, development and management of high quality apartment properties in top U.S. growth markets. Equity Residential owns or has investments in 391 properties consisting of 109,225 apartment units. For more information on Equity Residential, please visit our website at www.equityapartments.com.

Forward-Looking Statements

In addition to historical information, this press release contains forward-looking statements and information within the meaning of the federal securities laws. These statements are based on current expectations, estimates, projections and assumptions made by management. While Equity Residential’s management believes the assumptions underlying its forward-looking statements are reasonable, such information is inherently subject to uncertainties and may involve certain risks, including, without limitation, changes in general market conditions, including the rate of job growth and cost of labor and construction material, the level of new multifamily construction and development, competition and local government regulation. Other risks and uncertainties are described under the heading "Risk Factors" in our Annual Report on Form 10-K and subsequent periodic reports filed with the Securities and Exchange Commission (SEC) and available on our website, www.equityapartments.com. Many of these uncertainties and risks are difficult to predict and beyond management’s control. Forward-looking statements are not guarantees of future performance, results or events. Equity Residential assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

A live web cast of the company’s conference call discussing these results will take place tomorrow, Wednesday, February 4, at 10:00 a.m. Central. Please visit the Investor section of the company’s web site at www.equityapartments.com for the link. A replay of the web cast will be available for two weeks at this site.

                                                                                                                                                                                                                                           
                                                                                                                                                                               Equity Residential
                                                                                                                                                                      Consolidated Statements of Operations
                                                                                                                                                                  (Amounts in thousands except per share data)
                                                                                                                                                                                   (Unaudited)
                                                                                                                                                                                                                                                                                                                         
                                                                                                                                               Year Ended December 31,                                                                                                                             Quarter Ended December 31,
                                                                                         ----------------------------------------------------------------------------------------------------------------------------------                     ---------------------------------------------------------------------------------------------------------------------------------
                                                                                                                 2014                                                                       2013                                                                       2014                                                                       2013
                                                                                         ----------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------                     ---------------------------------------------------------
REVENUES
  Rental income                                                                                             $ 2,605,311                                                              $      2,378,004                                                              $  662,819                                                              $        636,835
  Fee and asset management                                                                     9,437                                   9,698                             1,841                                   2,299  
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
    Total revenues                                                                         2,614,748                               2,387,702                           664,660                                 639,134  
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                         
EXPENSES
  Property and maintenance                                                                                      473,098                                                                       449,427                                                                 112,011                                                                       118,641
  Real estate taxes and insurance                                                                               325,401                                                                       293,999                                                                  79,684                                                                        76,246
  Property management                                                                                            79,636                                                                        84,342                                                                  18,556                                                                        20,947
  Fee and asset management                                                                                        5,429                                                                         6,460                                                                   1,136                                                                         1,721
  Depreciation                                                                                                  758,861                                                                       978,973                                                                 193,089                                                                       182,740
  General and administrative                                                                  50,948                                  62,179                             9,652                                  15,162  
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
    Total expenses                                                                         1,693,373                               1,875,380                           414,128                                 415,457  
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                         
Operating income                                                                                                921,375                                                                       512,322                                                                 250,532                                                                       223,677
                                                                                                                                                                                                                                                                                                                         
  Interest and other income                                                                                       4,462                                                                         5,283                                                                   1,249                                                                         3,516
  Other expenses                                                                                                 (9,073 )                                                                     (29,630 )                                                                (1,894 )                                                                      (1,886 )
  Interest:
    Expense incurred, net                                                                                      (457,191 )                                                                    (586,854 )                                                              (109,967 )                                                                    (149,402 )
    Amortization of deferred financing costs                                                 (11,088 )                                                  (22,197 )                                             (2,534 )                                                   (6,561 )
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
Income (loss) before income and other taxes, (loss) income from                                                 448,485                                                                      (121,076 )                                                               137,386                                                                        69,344
investments
in unconsolidated entities, net gain on sales of real estate
properties and
land parcels and discontinued operations
Income and other tax (expense) benefit                                                                           (1,394 )                                                                      (1,169 )                                                                  (248 )                                                                         156
(Loss) income from investments in unconsolidated entities                                                        (7,952 )                                                                     (58,156 )                                                                 2,249                                                                          (407 )
Net gain on sales of real estate properties                                                                     212,685                                                                --                                                                  84,141                                                                --
Net gain on sales of land parcels                                                              5,277                                  12,227                             3,431                                      48  
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
Income (loss) from continuing operations                                                                        657,101                                                                      (168,174 )                                                               226,959                                                                        69,141
Discontinued operations, net                                                                   1,582                               2,073,527                                82                                  46,729  
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
Net income                                                                                                      658,683                                                                     1,905,353                                                                 227,041                                                                       115,870
Net (income) loss attributable to Noncontrolling Interests:
  Operating Partnership                                                                                         (24,831 )                                                                     (75,278 )                                                                (8,558 )                                                                      (4,331 )
  Partially Owned Properties                                                                  (2,544 )                                                      538                              (744 )                                                     (563 )
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
Net income attributable to controlling interests                                                                631,308                                                                     1,830,613                                                                 217,739                                                                       110,976
Preferred distributions                                                                       (4,145 )                                                   (4,145 )                                             (1,036 )                                                   (1,036 )
                                                                                         -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------- --------------------                      -------------------- -------------- --------------------
Net income available to Common Shares                                                                       $   627,163                                           $      1,826,468                                           $  216,703                                           $        109,940  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                         
Earnings per share - basic:
Income (loss) from continuing operations available to Common Shares                                         $      1.73                                           $          (0.47 )                                                            $     0.60                                           $           0.18  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
Net income available to Common Shares                                                                       $      1.74                                           $           5.16                                           $     0.60                                           $           0.31  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
Weighted average Common Shares outstanding                                                   361,181                                 354,305                           362,018                                 359,919  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                         
Earnings per share - diluted:
Income (loss) from continuing operations available to Common Shares                                         $      1.72                                           $          (0.47 )                                                            $     0.59                                           $           0.18  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
Net income available to Common Shares                                                                       $      1.73                                           $           5.16                                           $     0.59                                           $           0.30  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
Weighted average Common Shares outstanding                                                   377,735                                 354,305                           378,886                                 375,860  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                         
Distributions declared per Common Share outstanding                                                         $      2.00                                           $           1.85                                           $     0.50                                           $           0.65  
                                                                                         ==================== ========= ====================                      ==================== ============== ====================                      ==================== ======== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                              
                                                                                                                                                                                          Equity Residential
                                                                                                                                                                    Consolidated Statements of Funds From Operations and Normalized
                                                                                                                                                                                         Funds From Operations
                                                                                                                                                                             (Amounts in thousands except per share data)
                                                                                                                                                                                              (Unaudited)
                                                                                                                                                                                                                                                                                                                                               
                                                                                                                                                            Year Ended December 31,                                                                                                                                   Quarter Ended December 31,
                                                                                                    ---------------------------------------------------------------------------------------------------------------------------------------                     ---------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                              2014                                                                          2013                                                                          2014                                                                          2013
                                                                                                    ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------
Net income                                                                                                             $        658,683                                                              $      1,905,353                                                              $        227,041                                                              $        115,870
Net (income) loss attributable to Noncontrolling Interests -                                                        (2,544 )                                                                         538                                                                          (744 )                                                                        (563 )
Partially Owned Properties
Preferred distributions                                                                                       (4,145 )                                                   (4,145 )                                                   (1,036 )                                                   (1,036 )
                                                                                                    -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Net income available to Common Shares and Units                                                                                 651,994                                                                     1,901,746                                                                       225,261                                                                       114,271
                                                                                                                                                                                                                                                                                                                                               
Adjustments:
  Depreciation                                                                                                                  758,861                                                                       978,973                                                                       193,089                                                                       182,740
  Depreciation - Non-real estate additions                                                                          (4,643 )                                                                      (4,806 )                                                                      (1,158 )                                                                      (1,180 )
  Depreciation - Partially Owned Properties                                                                         (4,285 )                                                                      (6,499 )                                                                      (1,074 )                                                                      (1,094 )
  Depreciation - Unconsolidated Properties                                                                           6,754                                                                         3,661                                                                         1,572                                                                         1,330
  Net (gain) loss on sales of unconsolidated entities - operating                                                   (4,902 )                                                                          (7 )                                                                      (4,902 )                                                                           9
  assets
  Net (gain) on sales of real estate properties                                                                                (212,685 )                                                              --                                                                       (84,141 )                                                              --
  Discontinued operations:
    Depreciation                                                                                                         --                                                                        34,380                                                                --                                                                           516
    Net (gain) loss on sales of discontinued operations                                                                            (179 )                                                                  (2,036,505 )                                                                          44                                                                       (45,928 )
    Net incremental gain on sales of condominium units                                                                   --                                                                             8                                                                --                                                                             1
    Gain on sale of Equity Corporate Housing (ECH)                                                    --                                   1,470                          --                                     761  
                                                                                                    -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
FFO available to Common Shares and Units (1) (3) (4)                                                                          1,190,915                                                                       872,421                                                                       328,691                                                                       251,426
                                                                                                                                                                                                                                                                                                                                               
Adjustments (see page 26 for additional detail):
  Asset impairment and valuation allowances                                                                              --                                                                --                                                                --                                                                --
  Property acquisition costs and write-off of pursuit costs                                                                       8,248                                                                        79,365                                                                          (466 )                                                                         671
  Debt extinguishment (gains) losses, including prepayment penalties,
  preferred share
  redemptions and non-cash convertible debt discounts                                                                            (1,110 )                                                                     121,730                                                                        (1,623 )                                                                      42,910
  (Gains) losses on sales of non-operating assets, net of income and
  other tax expense
  (benefit)                                                                                                                      (1,866 )                                                                     (17,908 )                                                                          37                                                                        (4,183 )
  Other miscellaneous non-comparable items                                                                       259                                   1,465                                    (932 )                                                   (1,896 )
                                                                                                    -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Normalized FFO available to Common Shares and Units (2) (3) (4)                                                        $      1,196,446                                           $      1,057,073                                           $        325,707                                           $        288,928  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                                               
FFO (1) (3)                                                                                                            $      1,195,060                                                              $        876,566                                                              $        329,727                                                              $        252,462
Preferred distributions                                                                                       (4,145 )                                                   (4,145 )                                                   (1,036 )                                                   (1,036 )
                                                                                                    -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
FFO available to Common Shares and Units - basic and diluted (1) (3)                                                   $      1,190,915                                           $        872,421                                           $        328,691                                           $        251,426  
(4)
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
FFO per share and Unit - basic                                                                                         $           3.18                                           $           2.37                                           $           0.87                                           $           0.67  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
FFO per share and Unit - diluted                                                                                       $           3.15                                           $           2.35                                           $           0.87                                           $           0.67  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                                               
Normalized FFO (2) (3)                                                                                                 $      1,200,591                                                              $      1,061,218                                                              $        326,743                                                              $        289,964
Preferred distributions                                                                                       (4,145 )                                                   (4,145 )                                                   (1,036 )                                                   (1,036 )
                                                                                                    -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Normalized FFO available to Common Shares and Units - basic and                                                        $      1,196,446                                           $      1,057,073                                           $        325,707                                           $        288,928  
diluted (2) (3) (4)
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
Normalized FFO per share and Unit - basic                                                                              $           3.19                                           $           2.87                                           $           0.87                                           $           0.77  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
Normalized FFO per share and Unit - diluted                                                                            $           3.17                                           $           2.85                                           $           0.86                                           $           0.77  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                                               
Weighted average Common Shares and Units outstanding - basic                                                 374,899                                 368,038                                 375,711                                 373,643  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
Weighted average Common Shares and Units outstanding - diluted                                               377,735                                 370,478                                 378,886                                 375,860  
                                                                                                    ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
Note:   See page 26 for additional detail regarding the adjustments from
                           FFO to Normalized FFO. See page 28 for the definitions, the
                           footnotes referenced above and the reconciliations of EPS to FFO and
                           Normalized FFO.
                                                                                                                                
                                                                                           Equity Residential
                                                                                       Consolidated Balance Sheets
                                                                             (Amounts in thousands except for share amounts)
                                                                                               (Unaudited)
                                                                                                                                                     
                                                                                              December 31,                                                              December 31,
                                                                                                  2014                                                                      2013
                                                                          -----------------------------------------------------                     -----------------------------------------------------
ASSETS
Investment in real estate
  Land                                                                                       $  6,295,404                                                              $  6,192,512
  Depreciable property                                                                         19,851,504                                                                19,226,047
  Projects under development                                                                    1,343,919                                                                   988,867
  Land held for development                                                    184,556                             393,522  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
Investment in real estate                                                                      27,675,383                                                                26,800,948
  Accumulated depreciation                                                  (5,432,805 )                                           (4,807,709 )
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
Investment in real estate, net                                                                 22,242,578                                                                21,993,239
Cash and cash equivalents                                                                          40,080                                                                    53,534
Investments in unconsolidated entities                                                            105,434                                                                   178,526
Deposits - restricted                                                                 72,303                                                                   103,567
Escrow deposits - mortgage                                                            48,085                                                                    42,636
Deferred financing costs, net                                                                      58,380                                                                    58,486
Other assets                                                                   383,754                             404,557  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
      Total assets                                                                           $ 22,950,614                                           $ 22,834,545  
                                                                          ==================== ========== ====================                      ==================== ========== ====================
                                                                                                                                                     
LIABILITIES AND EQUITY
Liabilities:
  Mortgage notes payable                                                                     $  5,086,515                                                              $  5,174,166
  Notes, net                                                                                    5,425,346                                                                 5,477,088
  Lines of credit                                                                                 333,000                                                                   115,000
  Accounts payable and accrued expenses                                                           153,590                                                                   118,791
  Accrued interest payable                                                                         89,540                                                                    78,309
  Other liabilities                                                                               389,915                                                                   347,748
  Security deposits                                                                                75,633                                                                    71,592
  Distributions payable                                                        188,566                             243,511  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
      Total liabilities                                                     11,742,105                          11,626,205  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
                                                                                                                                                     
Commitments and contingencies
                                                                                                                                                     
Redeemable Noncontrolling Interests - Operating Partnership       500,733                             363,144  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
Equity:
  Shareholders’ equity:
    Preferred Shares of beneficial interest, $0.01 par value;                                      50,000                                                                    50,000
    100,000,000 shares authorized; 1,000,000 shares issued and
    outstanding as of December 31, 2014 and December 31, 2013
    Common Shares of beneficial interest, $0.01 par value;                                          3,629                                                                     3,605
    1,000,000,000 shares authorized; 362,855,454 shares issued and
    outstanding as of December 31, 2014 and 360,479,260 shares
    issued and outstanding as of December 31, 2013
  Paid in capital                                                                               8,536,340                                                                 8,561,500
  Retained earnings                                                                             1,950,639                                                                 2,047,258
  Accumulated other comprehensive (loss)                                      (172,152 )                                             (155,162 )
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
      Total shareholders’ equity                                    10,368,456                                                                10,507,201
Noncontrolling Interests:
  Operating Partnership                                                                           214,411                                                                   211,412
  Partially Owned Properties                                                   124,909                             126,583  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
      Total Noncontrolling Interests                                           339,320                             337,995  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
      Total equity                                                          10,707,776                          10,845,196  
                                                                          -------------------- ---------- --------------------                      -------------------- ---------- --------------------
      Total liabilities and equity                                                           $ 22,950,614                                           $ 22,834,545  
                                                                          ==================== ========== ====================                      ==================== ========== ====================
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                Equity Residential
                                                                                                 Portfolio Summary
                                                                                              As of December 31, 2014
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                 
                                                                                                                                     % of                                                    Average
                                                                                       Apartment                                  Stabilized                                                 Rental
       Markets/Metro Areas                            Properties                         Units                                      NOI (1)                                                 Rate (2)
--------------------------------                      ----------                      ---------                      ------------------------------------                     ------------------------------------
                                                                                                                                                                               
Core:
Washington DC                                                 57                         18,652                                17.5 %                                                            $          2,196
New York                                                      38                         10,330                                16.3 %                                                                       3,863
San Francisco                                                 51                         13,208                                14.3 %                                                                       2,403
Los Angeles                                                   61                         13,403                                13.0 %                                                                       2,208
Boston                                                        34                          7,816                                10.1 %                                                                       2,889
South Florida                                                 35                         11,434                                 7.4 %                                                                       1,629
Seattle                                                       43                          8,542                                 7.2 %                                                                       1,896
Denver                                                        19                          6,935                                 4.7 %                                                                       1,438
San Diego                                                     13                          3,505                                 3.1 %                                                                       1,982
Orange County, CA                                             11                          3,490                                 2.9 %                                                    1,790
                                                      ----------                      ---------                      -------------- --------------------                      -------------------- --------------
Subtotal - Core                                 362                         97,315                                96.5 %                                                                       2,291
                                                                                                                                                                               
Non-Core:
Inland Empire, CA                                             10                          3,081                                 2.1 %                                                                       1,570
Orlando                                                        3                            827                                 0.4 %                                                                       1,218
All Other Markets                                             14                          2,969                                 1.0 %                                                    1,178
                                                      ----------                      ---------                      -------------- --------------------                      -------------------- --------------
Subtotal - Non-Core                              27                          6,877                                 3.5 %                                                    1,357
                                                      ----------                      ---------                      -------------- --------------------                      -------------------- --------------
Total                                                        389                        104,192                               100.0 %                                                    2,229
                                                      ----------                      ---------                      -------------- --------------------                      -------------------- --------------
                                                                                                                                                                               
Military Housing                                               2                          5,033                      --                          --
                                                      ----------                      ---------                      -------------- --------------------                      -------------------- --------------
                                                                                                                                                                               
Grand Total                                                  391                        109,225                               100.0 %                                                            $          2,229
                                                      ==========                      =========                      ============== ====================                      ==================== ==============
Note: Projects under development are not included in the Portfolio
Summary until construction has been completed.
 
(1) % of Stabilized NOI includes budgeted 2015 NOI for stabilized
properties and projected annual NOI at stabilization (defined as
having achieved 90% occupancy for three consecutive months) for
properties that are in lease-up.
                                   
(2) Average rental rate is defined as total rental revenues divided
by the weighted average occupied apartment units for the last month
of the period presented.
                                                                                                        
---------------------------------------------------------------- -------------------- -------------------- -------------------------------------------------------- -------------------------------------------------------- ----------------------------------------------------------------------- ---------------------
                                                                                                                                                    Equity Residential
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                  
                                                                                                                                             Portfolio as of December 31, 2014
                                                                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                  Apartment
                                                                                                                                                                                 Properties                                                         Units
                                                                                                                                                                    ------------------------------------                     ---------------------------------------------------
  Wholly Owned Properties                                                                                                                                                      364                                                                  98,287
  Master-Leased Properties - Consolidated                                                                                                                                        3                                                                     853
  Partially Owned Properties - Consolidated                                                                                                                                     19                                                                   3,771
  Partially Owned Properties - Unconsolidated                                                                                                                                    3                                                                   1,281
                                                                                                                                                                                 2                             5,033  
  Military Housing
                                                                                                                                                                    -------------- --------------------                      -------------------- -------- --------------------
                                                                                                                                                                                                                                                                                                      
                                                                                                                                                                               391                           109,225  
                                                                                                                                                                    ============== ====================                      ==================== ======== ====================
                                                                                                                                                                                                                                                                                                      
                                                                                     
--------------------- --------------------- -------------------- -------------------- -------------------- -------------------------------------------------------- -------------------------------------------------------- ----------------------------------------------------------------------- ---------------------
                                                                                                                                                                                                                                                                                                      
                                                                                                                                               Portfolio Rollforward Q4 2014
                                                                                                                                                     ($ in thousands)
                                                                                                                                                                                                                                                                                                      
                                                                                                                                                                                  Apartment                                                       Purchase/
                                                                                                                        Properties                                                  Units                                                       (Sale) Price                                               Cap Rate
                                                                                                           ------------------------------------                     ------------------------------------                     ---------------------------------------------------                     ---------------------
                                                                       9/30/2014                                      396                                                  111,087
Acquisitions:
  Consolidated:
    Rental Properties - Stabilized                                                                                      2                                                      273                                                              $   94,240                                                  4.8 %
Dispositions:
  Consolidated:
    Rental Properties                                                                                                  (6 )                                                 (1,775 )                                                            $ (269,868 )                                                5.9 %
    Land Parcel (one)                                                                                      --                                           --                                                              $  (32,100 )
  Unconsolidated:
    Rental Properties (1)                                                                                              (1 )                                                   (388 )                                                            $  (62,500 )                                                5.6 %
Configuration Changes                                                                                      --                                    28  
                                                                                                           -------------- --------------------                      -------------- --------------------
                                                                                                                                                                                                                                                                                                      
                                                                      12/31/2014                                      391                               109,225  
                                                                                                           ============== ====================                      ============== ====================
                                                                                                                                                                                                                                                                                                      
                                                                                     
--------------------- --------------------- -------------------- -------------------- -------------------- -------------------------------------------------------- -------------------------------------------------------- ----------------------------------------------------------------------- ---------------------
                                                                                                                                                                                                                                                                                                      
                                                                                                                                                Portfolio Rollforward 2014
                                                                                                                                                     ($ in thousands)
                                                                                                                                                                                                                                                                                                      
                                                                                                                                                                                  Apartment                                                       Purchase/
                                                                                                                        Properties                                                  Units                                                       (Sale) Price                                               Cap Rate
                                                                                                           ------------------------------------                     ------------------------------------                     ---------------------------------------------------                     ---------------------
                                                                      12/31/2013                                      390                                                  109,855
Acquisitions:
  Consolidated:
    Rental Properties - Stabilized                                                                                      4                                                    1,011                                                              $  363,240                                                  4.8 %
    Rental Properties - Not Stabilized (2)                                                                              2                                                      342                                                              $  106,610                                                  5.4 %
    Land Parcels (two)                                                                                     --                                           --                                                              $   28,790
Dispositions:
  Consolidated:
    Rental Properties                                                                                                 (10 )                                                 (3,092 )                                                            $ (466,968 )                                                6.1 %
    Land Parcels (three)                                                                                   --                                           --                                                              $  (62,602 )
  Unconsolidated:
    Rental Properties (1)                                                                                              (1 )                                                   (388 )                                                            $  (62,500 )                                                5.6 %
Completed Developments - Consolidated                                                                                   6                                                    1,542
Configuration Changes                                                                                      --                                   (45 )
                                                                                                           -------------- --------------------                      -------------- --------------------
                                                                                                                                                                                                                                                                                                      
                                                                      12/31/2014                                      391                               109,225  
                                                                                                           ============== ====================                      ============== ====================
                                                                                                                                                                                                                                                                                                      
(1)   The Company owned an 85% interest in this unconsolidated rental
                         property. Sale price listed is the gross sale price.
(2)                      The Company acquired two properties in the second quarter of 2014,
                         one that had just completed lease up and the other which was still
                         in lease up, both of which are expected to stabilize in their second
                         year of ownership at a 6.4% yield on cost and a 4.9% yield on cost,
                         respectively.
                                                                                                                              
---------------------------------------------------------------------------------------------------- -------------------------------------------------------- ---------------------------------------------------------- ------------------------------------------------------- ----------------------------------------- ---------------------
                                                                                                                                                               Equity Residential
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                        
                                                                                                                                                   Fourth Quarter 2014 vs. Fourth Quarter 2013
                                                                                                                                          Same Store Results/Statistics for 98,421 Same Store Apartment
                                                                                                                                                                      Units
                                                                                                                                                 $ in thousands (except for Average Rental Rate)
                                                                                                                                                                                                                                                                                                                            
                                                                                                                    Results                                                                                                                                                    Statistics
                                          ----------------------------------------------------------------------------------------------------------------------------------------------------------                     -----------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                       Average
                                                                                                                                                                                                                                       Rental
     Description                                         Revenues                                                  Expenses                                                   NOI (1)                                                 Rate (2)                                         Occupancy                                 Turnover
--------------------                      -----------------------------------                        ---------------------------------                        -----------------------------------                        --------------------------------                        -------------------                       -------------------
                                                                                                                                                                                                                                                                                                                            
       Q4 2014                                 $   632,740                                                $ 203,787                                                $   428,953                                                $  2,233                                                 96.0 %                                    12.4 %
       Q4 2013                                 $   603,015                             $ 199,463                             $   403,552                             $  2,143                              95.4 %                                    12.2 %
                                          ------ --------- --------------------                      ------ ------- --------------------                      ------ --------- --------------------                      ------ ------ --------------------                      ---------- ---------                      ---------- ---------
                                                                                                                                                                                                                                                                                                                            
       Change                                  $    29,725                             $   4,324                             $    25,401                             $     90                               0.6 %                                     0.2 %
                                          ====== ========= ====================                      ====== ======= ====================                      ====== ========= ====================                      ====== ====== ====================                      ========== =========                      ========== =========
                                                                                                                                                                                                                                                                                                                            
       Change                                          4.9 %                                                    2.2 %                                                      6.3 %                                                   4.2 %
                                                                                                                                                                                                                                                                                                                            
                                                                                        
-------------------- -------------------- ---------------------------------------------------------- -------------------------------------------------------- ---------------------------------------------------------- ------------------------------------------------------- ----------------------------------------- ---------------------
                                                                                                                                                                                                                                                                                                                            
                                                                                                                                                                                                                                                                                                                            
                                                                                                                                                   Fourth Quarter 2014 vs. Third Quarter 2014
                                                                                                                                          Same Store Results/Statistics for 99,726 Same Store Apartment
                                                                                                                                                                      Units
                                                                                                                                                 $ in thousands (except for Average Rental Rate)
                                                                                                                                                                                                                                                                                                                            
                                                                                                                    Results                                                                                                                                                    Statistics
                                          ----------------------------------------------------------------------------------------------------------------------------------------------------------                     -----------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                       Average
                                                                                                                                                                                                                                       Rental
     Description                                         Revenues                                                  Expenses                                                   NOI (1)                                                 Rate (2)                                         Occupancy                                 Turnover
--------------------                      --------------------------------------                     ------------------------------------                     --------------------------------------                     -----------------------------------                     ---------------------                     ---------------------
                                                                                                                                                                                                                                                                                                                            
       Q4 2014                                 $   641,086                                                $ 206,421                                                $   434,665                                                $  2,233                                                 96.0 %                                    12.4 %
       Q3 2014                                 $   638,016                             $ 212,764                             $   425,252                             $  2,221                              96.1 %                                    17.2 %
                                          ------ --------- --------------------                      ------ ------- --------------------                      ------ --------- --------------------                      ------ ------ --------------------                      ---------- ---------                      ---------- ---------
                                                                                                                                                                                                                                                                                                                            
       Change                                  $     3,070                             $  (6,343 )                                              $     9,413                             $     12                              (0.1 %)                                   (4.8 %)
                                          ====== ========= ====================                      ====== ======= ====================                      ====== ========= ====================                      ====== ====== ====================                      ========== =========                      ========== =========
                                                                                                                                                                                                                                                                                                                            
       Change                                          0.5 %                                                   (3.0 %)                                                     2.2 %                                                   0.5 %
                                                                                                                                                                                                                                                                                                                            
                                                                                        
-------------------- -------------------- ---------------------------------------------------------- -------------------------------------------------------- ---------------------------------------------------------- ------------------------------------------------------- ----------------------------------------- ---------------------
                                                                                                                                                                                                                                                                                                                            
                                                                                                                                                                                                                                                                                                                            
                                                                                                                                                                  2014 vs. 2013
                                                                                                                                          Same Store Results/Statistics for 97,911 Same Store Apartment
                                                                                                                                                                      Units
                                                                                                                                                 $ in thousands (except for Average Rental Rate)
                                                                                                                                                                                                                                                                                                                            
                                                                                                                    Results                                                                                                                                                    Statistics
                                          ----------------------------------------------------------------------------------------------------------------------------------------------------------                     -----------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                       Average
                                                                                                                                                                                                                                       Rental
     Description                                         Revenues                                                  Expenses                                                   NOI (1)                                                 Rate (2)                                         Occupancy                                 Turnover
--------------------                      -----------------------------------                        ---------------------------------                        -----------------------------------                        --------------------------------                        -------------------                       -------------------
                                                                                                                                                                                                                                                                                                                            
        2014                                   $ 2,475,933                                                $ 830,697                                                $ 1,645,236                                                $  2,202                                                 95.8 %                                    55.0 %
        2013                                   $ 2,374,350                             $ 815,865                             $ 1,558,485                             $  2,119                              95.4 %                                    55.5 %
                                          ------ --------- --------------------                      ------ ------- --------------------                      ------ --------- --------------------                      ------ ------ --------------------                      ---------- ---------                      ---------- ---------
                                                                                                                                                                                                                                                                                                                            
       Change                                  $   101,583                             $  14,832                             $    86,751                             $     83                               0.4 %                                    (0.5 %)
                                          ====== ========= ====================                      ====== ======= ====================                      ====== ========= ====================                      ====== ====== ====================                      ========== =========                      ========== =========
                                                                                                                                                                                                                                                                                                                            
       Change                                          4.3 %                                                    1.8 %                                                      5.6 %                                                   3.9 %
Note: Same store results/statistics include the stabilized apartment
units acquired in the Archstone acquisition that are owned and
managed by the Company.
                        
                   (1)                        The Company’s primary financial measure for evaluating each of its
                                              apartment communities is net operating income ("NOI"). NOI
                                              represents rental income less property and maintenance expense, real
                                              estate tax and insurance expense and property management expense.
                                              The Company believes that NOI is helpful to investors as a
                                              supplemental measure of its operating performance because it is a
                                              direct measure of the actual operating results of the Company’s
                                              apartment communities. See page 28 for reconciliations from
                                              operating income.
                                               
                   (2)                        Average rental rate is defined as total rental revenues divided by
                                              the weighted average occupied apartment units for the period.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                          Equity Residential
                                                                                                                                                                              Fourth Quarter 2014 vs. Fourth Quarter 2013
                                                                                                                                                                                Same Store Results/Statistics by Market
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                         
                                                                                                                                                                                                                                                                                                                                                                                   
                                                                                                                                                                                                                                                                                            Increase (Decrease) from Prior Year’s Quarter
                                                                                                                                                                                                                              -------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                       Q4 2014                                   Q4 2014                                   Q4 2014
                                                                                                        % of                                     Average                                  Weighted                                                                                                                                             Average
                                                            Apartment                                  Actual                                    Rental                                    Average                                                                                                                                             Rental
       Markets/Metro Areas                                    Units                                      NOI                                    Rate (1)                                 Occupancy %                                Revenues                                  Expenses                                     NOI                Rate (1)                                  Occupancy
--------------------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------  --------------------                      --------------------
                                                                                                                                                                                                                                                                                                                                                                                   
Core:
Washington DC                                                       17,741                                    18.0 %                                   $ 2,219                                    95.3 %                                    (0.1%)                                     5.2 %                                     (2.4%)               (0.4%)                                     0.3 %
New York                                                            10,330                                    17.1 %                                     3,850                                    96.8 %                                     4.3 %                                     3.5 %                                     4.8 %                 3.4 %                                     0.8 %
San Francisco                                                       12,764                                    14.5 %                                     2,387                                    96.8 %                                    10.2 %                                    (1.0%)                                    15.7 %                 8.5 %                                     1.4 %
Los Angeles                                                         11,104                                    10.7 %                                     2,152                                    96.1 %                                     5.8 %                                     0.6 %                                     8.5 %                 4.8 %                                     0.8 %
Boston                                                               7,722                                    10.5 %                                     2,890                                    96.4 %                                     3.7 %                                     3.2 %                                     3.9 %                 3.0 %                                     0.6 %
South Florida                                                       10,537                                     7.4 %                                     1,613                                    95.6 %                                     5.9 %                                    (1.7%)                                    10.4 %                 5.6 %                                     0.3 %
Seattle                                                              7,752                                     6.7 %                                     1,882                                    95.5 %                                     7.7 %                                     5.1 %                                     8.9 %                 6.8 %                                     0.8 %
Denver                                                               6,935                                     4.9 %                                     1,444                                    95.8 %                                     9.4 %                                     1.0 %                                    12.7 %                 8.7 %                                     0.5 %
San Diego                                                            3,505                                     3.3 %                                     1,990                                    96.5 %                                     4.6 %                                    (0.4%)                                     7.0 %                 3.9 %                                     0.8 %
Orange County, CA                                                    3,490                                     3.1 %                                     1,804                                    96.6 %                                     5.3 %                                     0.5 %                                     7.2 %                 4.3 %                                     0.8 %
                                                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------  --------------------                      --------------------
Subtotal - Core                                        91,880                                    96.2 %                                     2,295                                    96.1 %                                     5.0 %                                     2.1 %                                     6.4 %                 4.2 %                                     0.7 %
                                                                                                                                                                                                                                                                                                                                                                                   
Non-Core:
Inland Empire, CA                                                    3,081                                     2.3 %                                     1,576                                    95.4 %                                     3.4 %                                    (1.9%)                                     6.0 %                 3.9 %                                    (0.4%)
Orlando                                                                827                                     0.4 %                                     1,225                                    95.9 %                                     3.8 %                                    10.4 %                                     (0.2%)                1.7 %                                     2.0 %
All Other Markets                                                    2,633                                     1.1 %                                     1,141                                    96.0 %                                     4.1 %                                     6.3 %                                     2.4 %                 3.6 %                                     0.4 %
                                                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------  --------------------                      --------------------
Subtotal - Non-Core                                     6,541                                     3.8 %                                     1,356                                    95.7 %                                     3.7 %                                     2.8 %                                     4.2 %                 3.4 %                                     0.2 %
                                                                                                                                                                                                                           
                                                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------                      --------------------  --------------------                      --------------------
Total                                                               98,421                                   100.0 %                                   $ 2,233                                    96.0 %                                     4.9 %                                     2.2 %                                     6.3 %                 4.2 %                                     0.6 %
                                                      ====================                      ====================                      ====================                      ====================                      ====================                      ====================                      ====================  ====================                      ====================
Note: Same store results/statistics include 18,465 stabilized
apartment units acquired in the Archstone acquisition that are owned
and managed by the Company.
 
(1) Average rental rate is defined as total rental revenues divided
by the weighted average occupied apartment units for the period.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                          Equity Residential
                                                                                                                                                                                              Fourth Quarter 2014 vs. Third Quarter 2014
                                                                                                                                                                                                Same Store Results/Statistics by Market
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     
                                                                                                                                                                                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                                                                                    Increase (Decrease) from Prior Quarter
                                                                                                                                                                                                                                         ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                       Q4 2014                                         Q4 2014                                        Q4 2014                                                                                                                                                           
                                                                                     % of                                           Average                                       Weighted                                                                                                                                                                 Average
                                                            Apartment                                  Actual                                          Rental                                         Average                                                                                                                                                                 Rental
       Markets/Metro Areas                                    Units                                      NOI                                          Rate (1)                                      Occupancy %                                Revenues                                  Expenses                                     NOI                                    Rate (1)                                  Occupancy
--------------------------------                      --------------------                      -------------------                       ------------------------------                       -------------------                       -------------------                       -------------------                       -------------------                       -------------------                       -------------------
                                                                                                                                                                                                                                                                                                                                                                                                                  
Core:
Washington DC                                                       18,130                            18.1 %                                                 $      2,209                            95.4 %                                    (1.7 %)                                   (4.7 %)                                   (0.3 %)                                   (1.1 %)                                   (0.5 %)
New York                                                            10,330                            16.9 %                                                        3,850                            96.8 %                                     0.2 %                                     0.8 %                                    (0.1 %)                                    0.0 %                                     0.2 %
San Francisco                                                       12,764                            14.3 %                                                        2,387                            96.8 %                                     2.3 %                                    (2.7 %)                                    4.5 %                                     1.7 %                                     0.6 %
Los Angeles                                                         11,758                            11.3 %                                                        2,183                            96.0 %                                     0.5 %                                    (5.9 %)                                    3.9 %                                     0.6 %                                    (0.1 %)
Boston                                                               7,722                            10.4 %                                                        2,890                            96.4 %                                     1.6 %                                    (1.5 %)                                    3.1 %                                     1.4 %                                     0.2 %
South Florida                                                       10,665                             7.4 %                                                        1,614                            95.6 %                                     1.1 %                                    (5.0 %)                                    4.6 %                                     1.0 %                                     0.1 %
Seattle                                                              7,886                             6.7 %                                                        1,880                            95.5 %                                     0.4 %                                    (1.8 %)                                    1.5 %                                     0.9 %                                    (0.5 %)
Denver                                                               6,935                             4.9 %                                                        1,444                            95.8 %                                     1.9 %                                    (7.5 %)                                    5.7 %                                     2.0 %                                    (0.2 %)
San Diego                                                            3,505                             3.2 %                                                        1,990                            96.5 %                                     0.5 %                                    (3.6 %)                                    2.4 %                                     0.5 %                                     0.1 %
Orange County, CA                                                    3,490                             3.1 %                                     1,804                            96.6 %                                     1.1 %                                    (5.5 %)                                    3.8 %                                     0.7 %                                     0.3 %
                                                      --------------------                      ---------- ---------                      -------------------- ----------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------
Subtotal - Core                                        93,185                            96.3 %                                                        2,294                            96.1 %                                     0.5 %                                    (3.1 %)                                    2.3 %                                     0.5 %                                     0.0 %
                                                                                                                                                                                                                                                                                                                                                                                                                  
Non-Core:
Inland Empire, CA                                                    3,081                             2.2 %                                                        1,576                            95.4 %                                    (0.8 %)                                   (5.8 %)                                    1.7 %                                    (0.1 %)                                   (0.6 %)
Orlando                                                                827                             0.4 %                                                        1,225                            95.9 %                                    (0.8 %)                                    1.0 %                                    (2.0 %)                                   (1.0 %)                                    0.2 %
All Other Markets                                                    2,633                             1.1 %                                     1,141                            96.0 %                                     0.6 %                                     4.1 %                                    (2.0 %)                                    0.9 %                                    (0.2 %)
                                                      --------------------                      ---------- ---------                      -------------------- ----------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------
Subtotal - Non-Core                                     6,541                             3.7 %                                                        1,356                            95.7 %                                    (0.3 %)                                   (1.1 %)                                    0.2 %                                     0.1 %                                    (0.4 %)
                                                                                                                                                                                                                                                          
                                                      --------------------                      ---------------------                     --------------------------------                     ---------------------                     ---------------------                     ---------------------                     ---------------------                     ---------------------                     ---------------------
Total                                                               99,726                           100.0 %                                                 $      2,233                            96.0 %                                     0.5 %                                    (3.0 %)                                    2.2 %                                     0.5 %                                    (0.1 %)
                                                      ====================                      ========== =========                      ==================== ==========                      ========== =========                      ========== =========                      ========== =========                      ========== =========                      ========== =========                      ========== =========
Note: Same store results/statistics include 19,206 stabilized
apartment units acquired in the Archstone acquisition that are owned
and managed by the Company.
 
(1) Average rental rate is defined as total rental revenues divided
by the weighted average occupied apartment units for the period.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                          Equity Residential
                                                                                                                                                                                                             2014 vs. 2013
                                                                                                                                                                                                Same Store Results/Statistics by Market
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     
                                                                                                                                                                                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                                                                                      Increase (Decrease) from Prior Year
                                                                                                                                                                                                                                         ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                        2014                                            2014                                           2014                                                                                                                                                             
                                                                                                        % of                                           Average                                       Weighted                                                                                                                                                                 Average
                                                            Apartment                                  Actual                                          Rental                                         Average                                                                                                                                                                 Rental
       Markets/Metro Areas                                    Units                                      NOI                                          Rate (1)                                      Occupancy %                                Revenues                                  Expenses                                     NOI                                    Rate (1)                                  Occupancy
--------------------------------                      --------------------                      -------------------                       ------------------------------                       -------------------                       -------------------                       -------------------                       -------------------                       -------------------                       -------------------
                                                                                                                                                                                                                                                                                                                                                                                                                  
Core:
Washington DC                                                       17,553                            18.4 %                                                 $      2,225                            95.2 %                                    (0.5 %)                                    2.2 %                                    (1.8 %)                                   (0.6 %)                                    0.0 %
New York                                                            10,330                            17.3 %                                                        3,826                            96.3 %                                     3.9 %                                     3.6 %                                     4.1 %                                     3.5 %                                     0.4 %
San Francisco                                                       12,764                            14.2 %                                                        2,315                            96.0 %                                     8.9 %                                    (1.7 %)                                   14.5 %                                     8.1 %                                     0.7 %
Los Angeles                                                         11,104                            10.7 %                                                        2,117                            95.7 %                                     4.8 %                                     0.4 %                                     7.3 %                                     4.5 %                                     0.2 %
Boston                                                               7,722                            10.5 %                                                        2,847                            96.0 %                                     3.5 %                                     3.1 %                                     3.8 %                                     2.8 %                                     0.7 %
South Florida                                                       10,537                             7.4 %                                                        1,587                            95.6 %                                     5.0 %                                     1.2 %                                     7.3 %                                     4.6 %                                     0.3 %
Seattle                                                              7,430                             6.4 %                                                        1,839                            95.6 %                                     7.3 %                                     4.3 %                                     8.7 %                                     6.9 %                                     0.3 %
Denver                                                               6,935                             4.9 %                                                        1,395                            95.8 %                                     7.8 %                                     0.8 %                                    10.8 %                                     7.7 %                                     0.1 %
San Diego                                                            3,505                             3.3 %                                                        1,963                            96.0 %                                     4.4 %                                     2.4 %                                     5.4 %                                     4.0 %                                     0.4 %
Orange County, CA                                                    3,490                             3.1 %                                     1,777                            96.0 %                                     5.0 %                                     0.1 %                                     7.1 %                                     4.7 %                                     0.3 %
                                                      --------------------                      ---------- ---------                      -------------------- ----------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------
Subtotal - Core                                        91,370                            96.2 %                                                        2,264                            95.8 %                                     4.3 %                                     1.8 %                                     5.6 %                                     3.9 %                                     0.4 %
                                                                                                                                                                                                                                                                                                                                                                                                                  
Non-Core:
Inland Empire, CA                                                    3,081                             2.3 %                                                        1,558                            95.7 %                                     3.7 %                                     2.4 %                                     4.4 %                                     3.5 %                                     0.3 %
Orlando                                                                827                             0.4 %                                                        1,223                            95.0 %                                     1.8 %                                     3.3 %                                     0.8 %                                     2.3 %                                    (0.5 %)
All Other Markets                                                    2,633                             1.1 %                                     1,124                            96.2 %                                     3.5 %                                     2.7 %                                     4.2 %                                     2.5 %                                     1.0 %
                                                      --------------------                      ---------- ---------                      -------------------- ----------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------                      ---------- ---------
Subtotal - Non-Core                                     6,541                             3.8 %                                                        1,341                            95.8 %                                     3.4 %                                     2.7 %                                     3.9 %                                     3.0 %                                     0.4 %
                                                                                                                                                                                                                                                          
                                                      --------------------                      ---------------------                     --------------------------------                     ---------------------                     ---------------------                     ---------------------                     ---------------------                     ---------------------                     ---------------------
Total                                                               97,911                           100.0 %                                                 $      2,202                            95.8 %                                     4.3 %                                     1.8 %                                     5.6 %                                     3.9 %                                     0.4 %
                                                      ====================                      ========== =========                      ==================== ==========                      ========== =========                      ========== =========                      ========== =========                      ========== =========                      ========== =========                      ========== =========
Note: Same store results/statistics include 18,465 stabilized
apartment units acquired in the Archstone acquisition that are owned
and managed by the Company.
 
(1) Average rental rate is defined as total rental revenues divided
by the weighted average occupied apartment units for the period.
                                                                                               
------------------------------------ -------------------- ---------------------------------------------------- ---------------------------------------------------- ----------------------------------------------------------------------------- ----------------------------------------- ---------------------
                                                                                                                                               Equity Residential
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                            
                                                                                                                                   Fourth Quarter 2014 vs. Fourth Quarter 2013
                                                                                                                          Same Store Operating Expenses for 98,421 Same Store Apartment
                                                                                                                                                      Units
                                                                                                                                                 $ in thousands
                                                                                                                                                                                                                                                                                             
                                                                                                                                                                                                                                                                                                 % of Actual
                                                                                                                                                                                                                                                                                                   Q4 2014
                                                                       Actual                                               Actual                                                              $                                                           %                                     Operating
                                                                       Q4 2014                                              Q4 2013                                                          Change                                                      Change                                   Expenses
                                                          ------------------------------                       ------------------------------                       ------------------------------------------------------                        -------------------                       -------------------
                                                                                                                                                                                                                                                                                             
Real estate taxes                                                            $     72,118                                         $     68,299                                         $          3,819                                                      5.6 %                                35.4 %
On-site payroll (1)                                                                41,140                                               42,049                                                     (909 )                                                   (2.2 %)                               20.2 %
Utilities (2)                                                                      29,757                                               28,273                                                    1,484                                                      5.2 %                                14.6 %
Repairs and maintenance (3)                                                        24,296                                               24,001                                                      295                                                      1.2 %                                11.9 %
Property management costs (4)                                                      18,982                                               19,900                                                     (918 )                                                   (4.6 %)                                9.3 %
Insurance                                                                           6,111                                                6,180                                                      (69 )                                                   (1.1 %)                                3.0 %
Leasing and advertising                                                             3,059                                                3,059                                           --                                           --                                   1.5 %
Other on-site operating expenses (5)                             8,324                             7,702                                   622                                   8.1 %                                 4.1 %
                                                          -------------------- ----------                      -------------------- ----------                      -------------------- -------------- --------------------                      -------------- -----                      ---------- ---------
                                                                                                                                                                                                                                                                                             
Same store operating expenses                                                $    203,787                                         $    199,463                                         $          4,324                                   2.2 %                               100.0 %
                                                          ==================== ==========                      ==================== ==========                      ==================== ============== ====================                      ============== =====                      ========== =========
                                                                                                                                                                                                                                                                                             
                                                                                               
------------------------------------ -------------------- ---------------------------------------------------- ---------------------------------------------------- ----------------------------------------------------------------------------- ----------------------------------------- ---------------------
                                                                                                                                                                                                                                                                                             
                                                                                                                                                  2014 vs. 2013
                                                                                                                          Same Store Operating Expenses for 97,911 Same Store Apartment
                                                                                                                                                      Units
                                                                                                                                                 $ in thousands
                                                                                                                                                                                                                                                                                             
                                                                                                                                                                                                                                                                                                 % of Actual
                                                                                                                                                                                                                                                                                                    2014
                                                                       Actual                                               Actual                                                              $                                                           %                                     Operating
                                                                        2014                                                 2013                                                            Change                                                      Change                                   Expenses
                                                          ------------------------------                       ------------------------------                       ------------------------------------------------------                        -------------------                       -------------------
                                                                                                                                                                                                                                                                                             
Real estate taxes                                                            $    287,214                                         $    271,888                                         $         15,326                                                      5.6 %                                34.6 %
On-site payroll (1)                                                               174,273                                              174,589                                                     (316 )                                                   (0.2 %)                               21.0 %
Utilities (2)                                                                     125,235                                              119,253                                                    5,982                                                      5.0 %                                15.1 %
Repairs and maintenance (3)                                                       100,496                                              100,319                                                      177                                                      0.2 %                                12.1 %
Property management costs (4)                                                      74,278                                               78,354                                                   (4,076 )                                                   (5.2 %)                                8.9 %
Insurance                                                                          24,354                                               24,626                                                     (272 )                                                   (1.1 %)                                2.9 %
Leasing and advertising                                                            10,802                                               12,072                                                   (1,270 )                                                  (10.5 %)                                1.3 %
Other on-site operating expenses (5)                            34,045                            34,764                                  (719 )                                                   (2.1 %)                                4.1 %
                                                          -------------------- ----------                      -------------------- ----------                      -------------------- -------------- --------------------                      -------------- -----                      ---------- ---------
                                                                                                                                                                                                                                                                                             
Same store operating expenses                                                $    830,697                                         $    815,865                                         $         14,832                                   1.8 %                               100.0 %
                                                          ==================== ==========                      ==================== ==========                      ==================== ============== ====================                      ============== =====                      ========== =========
Note: Same store operating results include the stabilized apartment
units acquired in the Archstone acquisition that are owned and
managed by the Company.
                        
                   (1)                        On-site payroll - Includes payroll and related expenses for on-site
                                              personnel including property managers, leasing consultants and
                                              maintenance staff.
                                               
                   (2)                        Utilities - Represents gross expenses prior to any recoveries under
                                              the Resident Utility Billing System ("RUBS"). Recoveries are
                                              reflected in rental income.
                                               
                   (3)                        Repairs and maintenance - Includes general maintenance costs,
                                              apartment unit turnover costs including interior painting, routine
                                              landscaping, security, exterminating, fire protection, snow removal,
                                              elevator, roof and parking lot repairs and other miscellaneous
                                              building repair costs.
                                               
                   (4)                        Property management costs - Includes payroll and related expenses
                                              for departments, or portions of departments, that directly support
                                              on-site management. These include such departments as regional and
                                              corporate property management, property accounting, human resources,
                                              training, marketing and revenue management, procurement, real estate
                                              tax, property legal services and information technology.
                                               
                   (5)                        Other on-site operating expenses - Includes ground lease costs and
                                              administrative costs such as office supplies, telephone and data
                                              charges and association and business licensing fees.
                                  
-------------------- -------------------- -------------------- -------------------- -------------------- ---------------------------------------------------- ----------------------------------------- ----------------------------------------- --------------------
                                                                                                                          Equity Residential
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                  
                                                                                                                 Debt Summary as of December 31, 2014
                                                                                                                        (Amounts in thousands)
                                                                                                                                                                                                         
                                                                                                                                                                                                                                     Weighted
                                                                                                                                                                                                              Weighted                                   Average
                                                                                                                                                                                                               Average                                 Maturities
                                                                                                                    Amounts (1)                               % of Total                                      Rates (1)                                  (years)
                                                                                                         ------------------------------                       -------------------                       -------------------                       --------------------
                                                                                                                                                                                                                                                   
Secured                                                                                                                     $  5,086,515                            46.9 %                                    4.21 %                                               7.5
Unsecured                                                                                                   5,758,346                            53.1 %                                    4.79 %                                               7.7
                                                                                                         -------------------- ----------                      ---------- ---------                      ---------- ---------                      --------------------
                                                                                                                                                                                                                                                   
      Total                                                                                                                 $ 10,844,861                           100.0 %                                    4.52 %                                               7.6
                                                                                                         ==================== ==========                      ========== =========                      ========== =========                      ====================
                                                                                                                                                                                                                                                   
Fixed Rate Debt:
                                                                                                                            $  4,351,301                            40.1 %                                    4.82 %                                               5.9
  Secured - Conventional
  Unsecured - Public                                                                           4,974,154                            45.9 %                                    5.45 %                                               8.3
                                                                                                         -------------------- ----------                      ---------- ---------                      ---------- ---------                      --------------------
                                                                                                                                                                                                                                                   
      Fixed Rate Debt                                                                                       9,325,455                            86.0 %                                    5.15 %                                               7.2
                                                                                                         -------------------- ----------                      ---------- ---------                      ---------- ---------                      --------------------
                                                                                                                                                                                                                                                   
Floating Rate Debt:
  Secured - Conventional                                                                                              7,985                             0.1 %                                    2.08 %                                              19.1
  Secured - Tax Exempt                                                                                              727,229                             6.7 %                                    0.66 %                                              16.2
  Unsecured - Public (2)                                                                                            451,192                             4.1 %                                    1.15 %                                               4.5
  Unsecured - Revolving Credit Facility                                                          333,000                             3.1 %                                    0.95 %                                               3.3
                                                                                                         -------------------- ----------                      ---------- ---------                      ---------- ---------                      --------------------
                                                                                                                                                                                                                                                   
      Floating Rate Debt                                                                                    1,519,406                            14.0 %                                    0.92 %                                               9.9
                                                                                                         -------------------- ----------                      ---------- ---------                      ---------- ---------                      --------------------
                                                                                                                                                                                                                                                   
Total                                                                                                                       $ 10,844,861                           100.0 %                                    4.52 %                                               7.6
                                                                                                         ==================== ==========                      ========== =========                      ========== =========                      ====================
(1) Net of the effect of any derivative instruments. Weighted
average rates are for the year ended December 31, 2014.
 
(2) Fair value interest rate swaps convert the $450.0 million 2.375%
notes due July 1, 2019 to a floating interest rate of 90-Day LIBOR
plus 0.61%.
                                    
Note: The Company capitalized interest of approximately $52.8
million and $47.3 million during the years ended December 31, 2014
and 2013, respectively. The Company capitalized interest of
approximately $14.7 million and $14.4 million during the quarters
ended December 31, 2014 and 2013, respectively.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                               Debt Maturity Schedule as of December 31, 2014
                                                                                                                                                                           (Amounts in thousands)
                                                                                                                                                                                                                          
                                                                                                                                                                                                                                                                                                      Weighted                                           Weighted
                                                                                                                                                                                                                                                              Average Rates                                         Average
                                                                           Fixed                                                          Floating                                                                                                                                                    on Fixed                                           Rates on
       Year                                                              Rate (1)                                                         Rate (1)                                                       Total                                              % of Total                              Rate Debt (1)                                     Total Debt (1)
------------------                                           ------------------------------                       ------------------------------------------------------         --------------------------------------------------                        ----------                       --------------------------                       ------------------------------
                                                                                                                                                                                                                                                                                                                                              
       2015                                                                     $    408,420                                         $ --                                               $    408,420                                             3.8 %                            6.32 %                                               6.32 %
       2016                                                                        1,192,798                                           --                                                  1,192,798                                            11.0 %                            5.34 %                                               5.34 %
       2017                                                                        1,346,252                                                      456                                                  1,346,708                                            12.4 %                            6.16 %                                               6.16 %
       2018                                                                           83,851                                                  430,659                      (2 )                          514,510                                             4.7 %                            5.61 %                                               1.72 %
       2019                                                                          806,106                                                  472,363                                                  1,278,469                                            11.8 %                            5.48 %                                               3.76 %
       2020                                                                        1,678,020                                                      809                                                  1,678,829                                            15.5 %                            5.49 %                                               5.49 %
       2021                                                                        1,194,624                                                      856                                                  1,195,480                                            11.0 %                            4.63 %                                               4.63 %
       2022                                                                          228,273                                                      905                                                    229,178                                             2.1 %                            3.16 %                                               3.17 %
       2023                                                                        1,331,497                                                      956                                                  1,332,453                                            12.3 %                            3.74 %                                               3.74 %
       2024                                                                            2,497                                                    1,011                                                      3,508                                             0.0 %                            4.97 %                                               5.14 %
       2025+                                                                       1,022,417                                                  673,977                                                  1,696,394                                            15.7 %                            4.97 %                                               3.17 %
Premium/(Discount)                                                 30,700                               (62,586 )                               (31,886 )                                          (0.3 %)                            N/A                               N/A  
                                                             -------------------- ----------                      -------------------- -------------- --------------------       -------------------- ---------- --------------------                      ----- -----                      ------ --------------------                      ---------- --------------------
                                                                                                                                                                                                                                                                                                                                              
       Total                                                                    $  9,325,455                                         $      1,519,406                            $ 10,844,861                        100.0 %                            5.13 %                                               4.49 %
                                                             ==================== ==========                      ==================== ============== ====================       ==================== ========== ====================                      ===== =====                      ====== ====================                      ========== ====================
(1) Net of the effect of any derivative instruments. Weighted
average rates are as of December 31, 2014.
 
(2) Includes $333.0 million outstanding on the Company’s unsecured
revolving credit facility. As of December 31, 2014, there was
approximately $2.12 billion available on this facility.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                Equity Residential
                                                                                                                                                                  Unsecured Debt Summary as of December 31, 2014
                                                                                                                                                                              (Amounts in thousands)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                      
                                                                                                                                                                                                                                                                        Unamortized
                                                                               Coupon                           Due                                                                             Face                                                                     Premium/                                                                       Net
                                                                                Rate                           Date                                                                            Amount                                                                   (Discount)                                                                    Balance
                                                                            ----------                       --------                                                   -------------------------------------------------                        ------------------------------------------------------                        -------------------------------------------------
                                                                                                                                                                                                                                                                                                                                
                     Fixed Rate Notes:
                                                                            6.584 %                          04/13/15                                                                      $   300,000                                                              $            (27 )                                                            $   299,973
                                                                            5.125 %                          03/15/16                                                                          500,000                                                                           (63 )                                                                499,937
                                                                            5.375 %                          08/01/16                                                                          400,000                                                                          (294 )                                                                399,706
                                                                            5.750 %                          06/15/17                                                                          650,000                                                                        (1,272 )                                                                648,728
                                                                            7.125 %                          10/15/17                                                                          150,000                                                                          (181 )                                                                149,819
                                                                            2.375 %                          07/01/19                      (1 )                                                450,000                                                                          (405 )                                                                449,595
                     Fair Value Derivative Adjustments                                                                                     (1 )                                               (450,000 )                                                                         405                                                                 (449,595 )
                                                                            4.750 %                          07/15/20                                                                          600,000                                                                        (2,518 )                                                                597,482
                                                                            4.625 %                          12/15/21                                                                        1,000,000                                                                        (2,635 )                                                                997,365
                                                                            3.000 %                          04/15/23                                                                          500,000                                                                        (3,671 )                                                                496,329
                                                                            7.570 %                          08/15/26                                                                          140,000                                                                --                                                                  140,000
                                                                            4.500 %                          07/01/44                                                       750,000                                  (5,185 )                                             744,815  
                                                                                                                                                                        -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- --------- --------------------
                                                                                                                                                                                                                                                                                                                                
                                                                                                                                                                          4,990,000                                 (15,846 )                                           4,974,154  
                                                                                                                                                                        -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- --------- --------------------
                     Floating Rate Notes:
                                                                                                             07/01/19                      (1 )                                                450,000                                                                          (405 )                                                                449,595
                     Fair Value Derivative Adjustments                                                       07/01/19                      (1 )                               1,597                          --                              1,597  
                                                                                                                                                                        -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- --------- --------------------
                                                                                                                                                                                                                                                                                                                                
                                                                                                                                                                            451,597                                    (405 )                                             451,192  
                                                                                                                                                                        -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- --------- --------------------
                                                                                                                                                                                                                                                                                                                                
                     Revolving Credit Facility:                              LIBOR+1.05%                     04/01/18                      (2 )(3)                          333,000                          --                            333,000  
                                                                                                                                                                        -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- --------- --------------------
                                                                                                                                                                                                                                                                                                                                
                     Total Unsecured Debt                                                                                                                                                  $ 5,774,597                                           $        (16,251 )                                                            $ 5,758,346  
                                                                                                                                                                        ==================== ========= ====================                      ==================== ============== ====================                      ==================== ========= ====================
(1)   Fair value interest rate swaps convert the $450.0 million 2.375%
                         notes due July 1, 2019 to a floating interest rate of 90-Day LIBOR
                         plus 0.61%.
                          
(2)                      Facility is private. All other unsecured debt is public.
                          
(3)                      Represents the Company’s $2.5 billion unsecured revolving credit
                         facility maturing April 1, 2018. The interest rate on advances under
                         the credit facility will generally be LIBOR plus a spread (currently
                         1.05%) and an annual facility fee (currently 15 basis points). Both
                         the spread and the facility fee are dependent on the credit rating
                         of the Company’s long-term debt. As of December 31, 2014, there was
                         approximately $2.12 billion available on this facility.
 
----------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                       Equity Residential
----------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                 
                                                            Selected Unsecured Public Debt Covenants
                                                                                                                                            
                                                                                                     December 31, 2014                      September 30, 2014
                                                                                                    -----------------                      --------------------
                                                                                                                                            
                     Total Debt to Adjusted Total Assets (not to exceed 60%)                              39.2 %                                  39.7 %
                                                                                                                                            
                     Secured Debt to Adjusted Total Assets (not to exceed 40%)                            18.4 %                                  18.4 %
                                                                                                                                            
                     Consolidated Income Available for Debt Service to
                         Maximum Annual Service Charges
                         (must be at least 1.5 to 1)                                                       3.38                                    3.23
                                                                                                                                            
                     Total Unsecured Assets to Unsecured Debt                                             336.5 %                                 329.5 %
                         (must be at least 150%)
Note:   These selected covenants relate to ERP Operating Limited
                           Partnership’s ("ERPOP") outstanding unsecured public debt. Equity
                           Residential is the general partner of ERPOP.
   
-------------------- --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                 
                                                                                                          Selected Credit Ratios (1)
                                                                                                                                                                                                                           
                                                                                                                                                                                                                           
                                                                                                                                                                                    December 31, 2014                      September 30, 2014
                                                                                                                                                                                   -----------------                      --------------------
                                                                                                                                                                                                                           
                     Total debt to Normalized EBITDA                                                                                                                                      6.45x                                   6.67x
                     Net debt to Normalized EBITDA                                                                                                                                        6.40x                                   6.63x
Note:   See page 25 for the footnote referenced above and the Normalized
                           EBITDA reconciliations.
                                                                                
-------------------- ---------------------------------------------- -------------------- -------------------- -------------------- -------------------- -------------------- ----------------------------------------------------- ----------------------------------------- ---------------------------------------------------- ----------------------------------------- ---------------------
                                                                                                                                                                                       Equity Residential
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                             
                                                                                                                                                                            Capital Structure as of December 31, 2014
                                                                                                                                                               (Amounts in thousands except for share/unit and per share amounts)
                                                                                                                                                                                                                                                                                                                                                                             
                         Secured Debt                                                                                                                                                                                                                                                           $  5,086,515                            46.9 %
                         Unsecured Debt                                                                                                                                                                                                                                         5,758,346                            53.1 %
                                                                                                                                                                                                                                                                             -------------------- ----------                      ---------- ---------
                                                                                                                                                                                                                                                                                                                                                                             
                     Total Debt                                                                                                                                                                                                                                                                   10,844,861                           100.0 %                                    28.5 %
                                                                                                                                                                                                                                                                                                                                                                             
                     Common Shares (includes Restricted Shares)                                                                                                                                   362,855,454                            96.2 %
                     Units (includes OP Units and Restricted Units)                                                                                                             14,298,691                             3.8 %
                                                                                                                                                                             -------------------- -----------                      ---------- ---------
                                                                                                                                                                                                                                                                                                                                                                             
                     Total Shares and Units                                                                                                                                                       377,154,145                           100.0 %
                     Common Share Price at December 31, 2014                                                                                                                                    $       71.84
                                                                                                                                                                             -------------------- -----------
                                                                                                                                                                                                                                                                                                  27,094,754                            99.8 %
                     Perpetual Preferred Equity (see below)                                                                                                                                                                                                                        50,000                             0.2 %
                                                                                                                                                                                                                                                                             -------------------- ----------                      ---------- ---------
                                                                                                                                                                                                                                                                                                                                                                             
                     Total Equity                                                                                                                                                                                                                                                                 27,144,754                           100.0 %                                    71.5 %
                                                                                                                                                                                                                                                                                                                                                                             
                     Total Market Capitalization                                                                                                                                                                                                                                                $ 37,989,615                                                                     100.0 %
                       
-------------------- -------------------- -------------------- -------------------- -------------------- -------------------- -------------------- -------------------- -------------------- -------------------- -------------------- --------------------
                                                                                                     Perpetual Preferred Equity as of December 31, 2014
                                                                                                (Amounts in thousands except for share and per share amounts)
                                                                                                                    
                                                                                                                                                                                                    Annual                                    Annual
                                                                    Redemption                                Outstanding                               Liquidation                                Dividend                                  Dividend
                  Series                                               Date                                     Shares                                     Value                                   Per Share                                  Amount
----------------------------------------                       --------------------                      --------------------                      --------------------                      --------------------                      --------------------
                                                                                                                                                                                                                                        
Preferred Shares:
    8.29% Series K                                                   12/10/26                                       1,000,000                                  $ 50,000                             $ 4.145                                         $ 4,145
                                                                                                         --------------------                      --------------------                                                                --------------------
                                                                                                                                                                                                                                        
Total Perpetual Preferred Equity                                                                                    1,000,000                                  $ 50,000                                                                             $ 4,145
                                                                                              Equity Residential
                                                                                             Common Share and Unit
                                                                                     Weighted Average Amounts Outstanding
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                            
                                                                                       2014                              2013                              Q4 2014                              Q4 2013
                                                                                   -----------                      --------------                      -----------                      --------------------
                                                                                                                                                                                          
Weighted Average Amounts Outstanding for Net Income Purposes:
  Common Shares - basic                                                            361,181,497                         354,305,373                      362,017,851                               359,918,500
  Shares issuable from assumed conversion/vesting of (1):
      - OP Units                                                                    13,717,844                      --                       13,692,848                                13,724,142
      - long-term compensation shares/units                                          2,836,034                      --                        3,174,890                                 2,217,058
                                                                                   -----------                      --------------                      -----------                      --------------------
                                                                                                                                                                                          
  Total Common Shares and Units - diluted (1)                                      377,735,375                         354,305,373                      378,885,589                               375,859,700
                                                                                   ===========                      ==============                      ===========                      ====================
                                                                                                                                                                                          
Weighted Average Amounts Outstanding for FFO and Normalized
FFO Purposes:
  Common Shares - basic                                                            361,181,497                         354,305,373                      362,017,851                               359,918,500
  OP Units - basic                                                                  13,717,844                          13,733,055                       13,692,848                                13,724,142
                                                                                   -----------                      --------------                      -----------                      --------------------
                                                                                                                                                                                          
  Total Common Shares and OP Units - basic                                         374,899,341                         368,038,428                      375,710,699                               373,642,642
  Shares issuable from assumed conversion/vesting of:
      - long-term compensation shares/units                                          2,836,034                           2,439,738                        3,174,890                                 2,217,058
                                                                                   -----------                      --------------                      -----------                      --------------------
                                                                                                                                                                                          
  Total Common Shares and Units - diluted                                          377,735,375                         370,478,166                      378,885,589                               375,859,700
                                                                                   ===========                      ==============                      ===========                      ====================
                                                                                                                                                                                          
Period Ending Amounts Outstanding:
  Common Shares (includes Restricted Shares)                                       362,855,454                         360,479,260
  Units (includes OP Units and Restricted Units)                                    14,298,691                          14,180,376
                                                                                   -----------                      --------------
                                                                                                                                                                                          
  Total Shares and Units                                                           377,154,145                         374,659,636
                                                                                   ===========                      ==============
(1)   Potential common shares issuable from the assumed conversion of OP
                         Units and the exercise/vesting of long-term compensation
                         shares/units are automatically anti-dilutive and therefore excluded
                         from the diluted earnings per share calculation as the Company had a
                         loss from continuing operations during the year ended December 31,
                         2013.
                           
-------------------------------------------- ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     Equity Residential
                                                                                                                                                                                                                                 Partially Owned Entities as of December 31, 2014
                                                                                                                                                                                                                       (Amounts in thousands except for project and apartment unit amounts)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                       
                                                                                                                                                               Consolidated                                                                                                                                                                                                                      Unconsolidated
                                                                  -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------                     ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                         Development                                                                                                                                                                                                                 Development
                                                                                          Projects                                                                                                                                                                                                                    Projects
                                                                  ------------------------------------------------------                                                                                                                                                                      ------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
                                                                                          Held for
                                                                                        and/or Under                                                                                                                                                                                                                 Completed,
                                                                                       Development (4)                                                               Operating                                                                Total                                           Not Stabilized (5)                                                            Operating                                                                                               Total
                                                                  ------------------------------------------------------                        -----------------------------------------------                        -----------------------------------------------                        ------------------------------------------------------                        ------------------------------------------------------                        ------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
Total projects (1)                                                  --                               19                               19                                       1                                       2                                       3  
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
Total apartment units (1)                                           --                            3,771                            3,771                                     444                                     837                                   1,281  
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
Operating information for the year
ended 12/31/14 (at 100%):
  Operating revenue                                                                  $             22                                                              $  88,157                                                              $  88,179                                                              $         10,182                                                              $         15,160                                                              $         25,342
  Operating expenses                                                            91                           25,674                           25,765                                   3,781                                   6,818                                  10,599  
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
  Net operating (loss) income                                                                     (69 )                                                               62,483                                                                 62,414                                                                         6,401                                                                         8,342                                                                        14,743
  Depreciation                                                                         --                                                                 21,679                                                                 21,679                                                                         6,512                                                                         5,800                                                                        12,312
  General and administrative/other                                               1                              116                              117                                       1                                     209                                     210  
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
  Operating (loss) income                                                                         (70 )                                                               40,688                                                                 40,618                                                                          (112 )                                                                       2,333                                                                         2,221
  Interest and other income                                                            --                                                                     11                                                                     11                                                                --                                                                --                                                                --
  Other expenses                                                                       --                                                                    (54 )                                                                  (54 )                                                              --                                                                --                                                                --
  Interest:
    Expense incurred, net                                                              --                                                                (15,626 )                                                              (15,626 )                                                                      (5,296 )                                                                      (3,831 )                                                                      (9,127 )
    Amortization of deferred financing costs                        --                             (355 )                                              (355 )                                           --                                      (2 )                                                       (2 )
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
                                                                                                  (70 )                                                               24,664                                                                 24,594                                                                        (5,408 )                                                                      (1,500 )                                                                      (6,908 )
  (Loss) income before income and other
  taxes and (loss) from investments in
  unconsolidated entities
  Income and other tax (expense) benefit                                               --                                                                    (36 )                                                                  (36 )                                                                          (7 )                                                              --                                                                            (7 )
  (Loss) from investments in                                        --                           (1,593 )                                            (1,593 )                                           --                          --                          --  
  unconsolidated entities
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
  Net (loss) income                                                                  $            (70 )                                                            $  23,035                                           $  22,965                                           $         (5,415 )                                                            $         (1,500 )                                                            $         (6,915 )
                                                                  ==================== ============== ====================                      ==================== ======= ====================                      ==================== ======= ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
Debt - Secured (2):
    EQR Ownership (3)                                                                $ --                                                              $ 282,084                                                              $ 282,084                                                              $         19,359                                                              $         15,726                                                              $         35,085
    Noncontrolling Ownership                                        --                           78,395                           78,395                                  77,434                                  62,902                                 140,336  
                                                                  -------------------- -------------- --------------------                      -------------------- ------- --------------------                      -------------------- ------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                           
Total (at 100%)                                                                      $ --                                           $ 360,479                                           $ 360,479                                           $         96,793                                           $         78,628                                           $        175,421  
                                                                  ==================== ============== ====================                      ==================== ======= ====================                      ==================== ======= ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
(1)     Project and apartment unit counts exclude all uncompleted
                           development projects until those projects are substantially
                           completed.
                            
(2)                        All debt is non-recourse to the Company.
                            
(3)                        Represents the Company’s current equity ownership interest.
                            
(4)                        See Consolidated Projects Under Development - Partially Owned on
                           page 21 for further information.
                            
(5)                        Projects included here are substantially complete. However, they may
                           still require additional exterior and interior work for all units to
                           be available for leasing. See Projects Completed, Not Stabilized -
                           Unconsolidated on page 22 for further information.
                            
Note:                      The above table excludes the Company’s interests in unconsolidated
                           joint ventures entered into with AvalonBay ("AVB") in connection
                           with the Archstone transaction. These ventures own certain non-core
                           Archstone assets that are held for sale and succeeded to certain
                           residual Archstone liabilities, such as liability for various
                           employment-related matters as well as responsibility for tax
                           protection arrangements and third-party preferred interests in
                           former Archstone subsidiaries. The preferred interests have an
                           aggregate liquidation value of $74.6 million at December 31, 2014.
                           The ventures are owned 60% by the Company and 40% by AVB.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     Equity Residential
                                                                                                                                                                                                                                     Consolidated Development and Lease-Up Projects as of December 31,
                                                                                                                                                                                                                                     2014
                                                                                                                                                                                                                                     (Amounts in thousands except for project and apartment unit amounts)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                                                                                 Total Book
                                                                                                                                       No. of                                           Total                                                Total                                                Value Not                                                                                                                                                                                                                                                                                         Estimated                            Estimated
                                                                                                                                      Apartment                                        Capital                                            Book Value                                              Placed in                                                  Total                                                         Percentage                                                                 Percentage                                                Percentage                         Completion                          Stabilization
Projects                                                                                      Location                                  Units                                         Cost (1)                                              to Date                                                Service                                                   Debt                                                           Completed                                                                   Leased                                                   Occupied                             Date                                 Date
--------------------------------------------------------------------                     -----------------                      --------------------                      --------------------------------                     --------------------------------                     ------------------------------------                     ------------------------------------                     ----------------------------------------------------                     ---------------------------------------------------------                     -----------------                     ----------                      --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Projects Under Development - Wholly Owned:
------------------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Residences at Westgate II (formerly Westgate III)                                        Pasadena, CA                                             88                                         $     55,037                                         $     45,661                                         $         45,661                                         $ --                                                  86 %                                                              --                                           --                          Q1 2015                              Q3 2015
170 Amsterdam (2)                                                                        New York, NY                                            236                                              110,892                                               97,372                                                   97,372                                           --                                                  88 %                                                              --                                           --                          Q1 2015                              Q1 2016
Parc on Powell (formerly 1333 Powell) (3)                                                Emeryville, CA                                          176                                               87,500                                               71,765                                                   71,765                                           --                                                  85 %                                                                          13 %                                         --                          Q2 2015                              Q4 2015
Azure (at Mission Bay)                                                                   San Francisco, CA                                       273                                              189,090                                              146,609                                                  146,609                                           --                                                  75 %                                                              --                                           --                          Q3 2015                              Q4 2016
Junction 47 (formerly West Seattle)                                                      Seattle, WA                                             206                                               67,112                                               44,514                                                   44,514                                           --                                                  62 %                                                              --                                           --                          Q4 2015                              Q3 2016
Tallman                                                                                  Seattle, WA                                             303                                               84,277                                               55,794                                                   55,794                                           --                                                  62 %                                                              --                                           --                          Q4 2015                              Q2 2017
Village at Howard Hughes                                                                 Los Angeles, CA                                         545                                              193,231                                               86,642                                                   86,642                                           --                                                  26 %                                                              --                                           --                          Q2 2016                              Q2 2017
Potrero                                                                                  San Francisco, CA                                       453                                              224,474                                               72,354                                                   72,354                                           --                                                  14 %                                                              --                                           --                          Q2 2016                              Q3 2017
Millikan                                                                                 Irvine, CA                                              344                                              102,331                                               41,367                                                   41,367                                           --                                                  13 %                                                              --                                           --                          Q2 2016                              Q3 2017
Tasman                                                                                   San Jose, CA                                            554                                              214,923                                              119,554                                                  119,554                                           --                                                  46 %                                                              --                                           --                          Q2 2016                              Q2 2018
340 Fremont (formerly Rincon Hill)                                                       San Francisco, CA                                       348                                              287,454                                              106,972                                                  106,972                                           --                                                  24 %                                                              --                                           --                          Q3 2016                              Q1 2018
One Henry Adams                                                                          San Francisco, CA                                       241                                              164,434                                               39,923                                                   39,923                                           --                                                   1 %                                                              --                                           --                          Q4 2016                              Q4 2017
Cascade                                                                                  Seattle, WA                                             483                                              158,494                                               34,543                                                   34,543                                           --                                                   1 %                                                              --                                           --                          Q2 2017                              Q1 2019
2nd & Pine (4)                                                                           Seattle, WA                                             398                           214,742                            40,122                                40,122                        --                                                   4 %                                                              --                                           --                          Q3 2017                              Q2 2019
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
Projects Under Development - Wholly Owned                                                                                                      4,648                                            2,153,991                                            1,003,192                                                1,003,192                                           --
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Projects Under Development - Partially
Owned:
------------------------------------------------------------------
Prism at Park Avenue South (5)                                                           New York, NY                                            269                           251,961                           226,959                               226,959                        --                                                  91 %                                                                           5 %                                                      3 %                        Q2 2015                              Q1 2016
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
Projects Under Development - Partially Owned                                                                                                     269                                              251,961                                              226,959                                                  226,959                                           --
                                                                                                                                                                                                                                                                  
                                                                                                                                --------------------                      --------------------------------                     --------------------------------                     ------------------------------------                     ------------------------------------
Projects Under Development                                                                                                                     4,917                         2,405,952                         1,230,151                             1,230,151                        --
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Completed Not Stabilized - Wholly Owned
(6):
------------------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Jia (formerly Chinatown Gateway)                                                         Los Angeles, CA                                         280                                               92,920                                               89,611                                           --                                           --                                                                                                                                98 %                                                     97 %                       Completed                             Q1 2015
1111 Belle Pre (formerly The Madison)                                                    Alexandria, VA                                          360                                              112,072                                              111,433                                           --                                           --                                                                                                                                97 %                                                     96 %                       Completed                             Q1 2015
Park Aire (formerly Enclave at Wellington)                                               Wellington, FL                                          268                                               49,000                                               48,917                                           --                                           --                                                                                                                                95 %                                                     93 %                       Completed                             Q1 2015
Urbana (formerly Market Street Landing)                                                  Seattle, WA                                             287                                               88,774                                               86,789                                           --                                           --                                                                                                                                90 %                                                     86 %                       Completed                             Q2 2015
Residences at Westgate I (formerly Westgate II)                                          Pasadena, CA                                            252                           127,292                           124,606                        --                        --                                                                                                                                68 %                                                     67 %                       Completed                             Q2 2015
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
Projects Completed Not Stabilized - Wholly Owned                                                                                               1,447                                              470,058                                              461,356                                           --                                           --
                                                                                                                                                                                                                                                                  
                                                                                                                                --------------------                      --------------------------------                     --------------------------------                     ------------------------------------                     ------------------------------------
Projects Completed Not Stabilized                                                                                                              1,447                           470,058                           461,356                        --                        --
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Completed and Stabilized During the
Quarter - Wholly Owned:
------------------------------------------------------------------
Eleve (7)                                                                   Glendale, CA                                            208                                               70,500                                               70,500                                           --                                           --                                                                                                                                99 %                                                     96 %                       Completed                           Stabilized
Reserve at Town Center III                                                               Mill Creek, WA                                           95                            21,280                            21,264                        --                        --                                                                                                                                95 %                                                     94 %                       Completed                           Stabilized
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
Projects Completed and Stabilized During the Quarter - Wholly Owned                                                                              303                                               91,780                                               91,764                                           --                                           --
                                                                                                                                                                                                                                                                  
                                                                                                                                --------------------                      --------------------------------                     --------------------------------                     ------------------------------------                     ------------------------------------
Projects Completed and Stabilized During the Quarter                                                                                             303                            91,780                            91,764                        --                        --
                                                                                                                                --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- --------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Total Consolidated Projects                                                                                                                    6,667                                         $  2,967,790                                         $  1,783,271                                         $      1,230,151                                         $ --
                                                                                                                                ====================                      ==================== ==========                      ==================== ==========                      ==================== ==============                      ==================== ==============
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
Land Held for Development                                                                                                                        N/A                               N/A                                         $    184,556                                         $        184,556                                         $ --
                                                                                                                                ====================                      ==================== ==========                      ==================== ==========                      ==================== ==============                      ==================== ==============
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
                                                                                                                                                                                                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
NOI CONTRIBUTION FROM CONSOLIDATED DEVELOPMENT PROJECTS                                                                                                                                                                                                                                                                                                                                                                       Total                                                                     Q4 2014
                                                                                                                                                                                                                                                                                                                                                                                                                             Capital                                                                      NOI
                                                                                                                                                                                                                                                                                                                                                                                                                            Cost (1)
                                                                                                                                                                                                                                                                                                                                                                                                      -------------------------------------------------                        ------------------------------------------------------
Projects Under Development                                                                                                                                                                                                                                                                                                                                                                                               $ 2,405,952                                                              $            (73 )
Completed Not Stabilized                                                                                                                                                                                                                                                                                                                                                                                                     470,058                                                                         5,871
Completed and Stabilized During the Quarter                                                                                                                                                                                                                                                                                                                                                                91,780                                   1,128  
                                                                                                                                                                                                                                                                                                                                                                                                      -------------------- --------- --------------------                      -------------------- -------------- --------------------
  Total Consolidated Development NOI Contribution                                                                                                                                                                                                                                                                                                                                                                        $ 2,967,790                                           $          6,926  
                                                                                                                                                                                                                                                                                                                                                                                                      ==================== ========= ====================                      ==================== ============== ====================
(1)   Total capital cost represents estimated cost for projects under
                         development and/or developed and all capitalized costs incurred to
                         date plus any estimates of costs remaining to be funded for all
                         projects, all in accordance with GAAP.
                          
(2)                      170 Amsterdam - The land under this project is subject to a long
                         term ground lease.
                          
(3)                      Parc on Powell - During the fourth quarter of 2014, the Company
                         acquired its partner’s 95% interest in this unconsolidated
                         development project which was valued at $87.5 million. In
                         conjunction with the buyout, the outstanding construction loan of
                         $27.2 million was paid off. The project is now wholly-owned.
                          
(4)                      2nd & Pine - Includes an adjacent land parcel on which certain
                         improvements including a portion of a parking structure will be
                         constructed as part of the development of this project. The Company
                         may eventually construct an additional apartment tower on this site
                         or sell a portion of the garage and the related air rights.
                          
(5)                      Prism at Park Avenue South - The Company is jointly developing
                         with Toll Brothers (TOL ) a project at 400 Park Avenue South
                         in New York City with the Company’s rental portion on floors 2-22
                         and Toll’s for sale portion on floors 23-40. The total capital
                         cost and total book value to date represent only the Company’s
                         portion of the project. Toll Brothers has funded $113.8 million
                         for their allocated share of the project.
                          
(6)                      Properties included here are substantially complete. However, they
                         may still require additional exterior and interior work for all
                         apartment units to be available for leasing.
                          
(7)                      Eleve - The Company acquired this project during the second quarter
                         of 2014, prior to stabilization, and has completed lease-up
                         activities.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     Equity Residential                                                                                                                                                                                                                                           
                                                                                                                                                                                                                            Unconsolidated Development and Lease-Up Projects as of December
                                                                                                                                                                                                                                     31, 2014
                                                                                                                                                                                                                         (Amounts in thousands except for project and apartment unit amounts)                                                                                                                                                                                                                             
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- --------------------
                                                                                                                                                                      Total Book                                                                                       
                                                                                                                                                 No. of                                           Total                                                Total                                                Value Not                                                                                                                                                                                        Estimated                            Estimated
                                                                                                          Percentage                            Apartment                                        Capital                                            Book Value                                              Placed in                                                Total                                  Percentage                      Percentage                      Percentage                      Completion                          Stabilization
Projects                                                                  Location                         Ownership                              Units                                         Cost (1)                                              to Date                                                Service                                                 Debt                                    Completed                        Leased                         Occupied                          Date                                 Date
-------------------------------------------------                       ------------                      ---------                       --------------------                      ------------------------------                       ------------------------------                       ----------------------------------                       ------------------------------                       ----------                      ---------                       ---------                       ----------                      --------------------
 
Completed Not Stabilized - Unconsolidated
(2):
-------------------------------------------------
Domain (3)                                                              San Jose, CA                       20.0 %                                          444                                         $    155,820                                         $    155,274                                         $              -                                         $     96,793                                                         93 %                            91 %                          Completed                             Q1 2015
                                                                                                                                          --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- ----------
Projects Completed Not Stabilized - Unconsolidated                                                                                                         444                                              155,820                                              155,274                                           --                                               96,793
                                                                                                                                                                                                                                                                            
                                                                                                                                          --------------------                      --------------------------------                     --------------------------------                     ------------------------------------                     --------------------------------
Projects Completed Not Stabilized                                                                                                                          444                           155,820                           155,274                        --                            96,793
                                                                                                                                          --------------------                      -------------------- ----------                      -------------------- ----------                      -------------------- --------------                      -------------------- ----------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
Total Unconsolidated Projects                                                                                                                              444                                         $    155,820                                         $    155,274                                         $              -                                         $     96,793
                                                                                                                                          ====================                      ==================== ==========                      ==================== ==========                      ==================== ==============                      ==================== ==========
(1)   Total capital cost represents estimated cost for projects under
                         development and/or developed and all capitalized costs incurred to
                         date plus any estimates of costs remaining to be funded for all
                         projects, all in accordance with GAAP.
                          
(2)                      Properties included here are substantially complete. However, they
                         may still require additional exterior and interior work for all
                         apartment units to be available for leasing.
                          
(3)                      Domain - This development project is owned 20% by the Company and
                         80% by an institutional partner in an unconsolidated joint venture.
                         Total project cost is approximately $155.8 million and construction
                         was predominantly funded with a long-term, non-recourse secured loan
                         from the partner. The Company was responsible for constructing the
                         project and had given certain construction cost overrun guarantees
                         but currently has no further funding obligations. Domain has a
                         maximum debt commitment of $98.6 million, the loan bears interest at
                         5.75% and matures January 1, 2022.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     Equity Residential
                                                                                                                                                                                                                                     Repairs and Maintenance Expenses and Capital Expenditures to Real
                                                                                                                                                                                                                                     Estate
                                                                                                                                                                                                                                     For the Year Ended December 31, 2014
                                                                                                                                                                                                                                     (Amounts in thousands except for apartment unit and per apartment
                                                                                                                                                                                                                                     unit amounts)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                              
                                                                                                                                                                            Repairs and Maintenance Expenses                                                                                                                                                                                                                                                  Capital Expenditures to Real Estate                                                                                                                                                 Total Expenditures
                                                                  ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------                     ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------    ------------------------------------------------------------------------
                                   Total                                                                             Avg. Per                                                                                              Avg. Per                                                                         Avg. Per                                                                                              Avg. Per                                          Building                                           Avg. Per                                                                          Avg. Per                                                               Avg. Per
                                 Apartment                                                                           Apartment                                                                          Apartment                                                                        Apartment                                        Replacements                                         Apartment                                       Improvements                                         Apartment                                                                         Apartment                 Grand                                        Apartment
                                 Units (1)                                 Expense (2)                                 Unit                                            Payroll (3)                                           Unit                                    Total                                    Unit                                                (4)                                               Unit                                               (5)                                               Unit                                     Total                                    Unit                    Total                                          Unit
                              --------------                      ---------------------------                       ---------                       ----------------------------------------------                        --------                       ---------------------------                       ---------                       ----------------------------------------------                        --------                       ----------------------------------------------                        ---------                       ---------------------------                       ---------      ---------------------------                       --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
Same Store Properties (6)             97,911                                         $ 100,496                         $ 1,026                                         $ 87,745                                              $  896                                         $ 188,241                         $ 1,922                                         $ 85,045                                              $  869                                         $ 93,988                                              $   960                                         $ 179,033                         $ 1,829  (9)                   $ 367,274                               $      3,751
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
Non-Same Store Properties (7)          5,000                                             2,714                             694                                            1,961                                                 501                                             4,675                           1,195                                              236                                                  60                                            5,513                                                1,410                                             5,749                           1,470                           10,424                                      2,665
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
Other (8)                     --                          2,247                                                         1,933                                                           4,180                                                           920                                                            255                                                            1,175                                         5,355
                              --------------                      -------------------- -------                                                      -------------------- ------ --------------------                                                     -------------------- -------                                                      -------------------- ------ --------------------                                                     -------------------- ------ --------------------                                                      -------------------- -------                                     -------------------- -------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
Total                                102,911                                         $ 105,457                                                                         $ 91,639                                                                          $ 197,096                                                                         $ 86,201                                                                          $ 99,756                                                                           $ 185,957                                                        $ 383,053
                              ==============                      ==================== =======                                                      ==================== ====== ====================                                                     ==================== =======                                                      ==================== ====== ====================                                                     ==================== ====== ====================                                                      ==================== =======                                     ==================== =======
(1)   Total Apartment Units - Excludes 1,281 unconsolidated apartment
                         units and 5,033 military housing apartment units for which repairs
                         and maintenance expenses and capital expenditures to real estate are
                         self-funded and do not consolidate into the Company’s results.
                          
(2)                      Repairs and Maintenance Expenses - Includes general maintenance
                         costs, apartment unit turnover costs including interior painting,
                         routine landscaping, security, exterminating, fire protection, snow
                         removal, elevator, roof and parking lot repairs and other
                         miscellaneous building repair costs.
                          
(3)                      Maintenance Payroll - Includes payroll and related expenses for
                         maintenance staff.
                          
(4)                      Replacements - Includes new expenditures inside the apartment
                         units such as appliances, mechanical equipment, fixtures and
                         flooring, including carpeting. Replacements for same store
                         properties also include $51.4 million spent in 2014 on apartment
                         unit renovations/rehabs (primarily kitchens and baths) on 6,111
                         same store apartment units (equating to approximately $8,400 per
                         apartment unit rehabbed) designed to reposition these assets for
                         higher rental levels in their respective markets. In 2015, the
                         Company expects to spend approximately $60.0 million for all unit
                         renovation/rehab costs (primarily on same store properties) at a
                         weighted average cost of $9,000 per apartment unit rehabbed.
                          
(5)                      Building Improvements - Includes roof replacement, paving, amenities
                         and common areas, building mechanical equipment systems, exterior
                         painting and siding, major landscaping, vehicles and office and
                         maintenance equipment.
                          
(6)                      Same Store Properties - Primarily includes all properties acquired
                         or completed and stabilized prior to January 1, 2013, less
                         properties subsequently sold. Also includes 18,465 stabilized
                         apartment units acquired in the Archstone acquisition that are owned
                         and managed by the Company.
                          
(7)                      Non-Same Store Properties - Primarily includes all properties
                         acquired during 2013 and 2014, plus any properties in lease-up and
                         not stabilized as of January 1, 2013, but excludes 18,465 stabilized
                         apartment units acquired in the Archstone acquisition that are owned
                         and managed by the Company. Per apartment unit amounts are based on
                         a weighted average of 3,911 apartment units.
                          
(8)                      Other - Primarily includes expenditures for properties sold.
                          
(9)                      For 2015, the Company estimates that it will spend approximately
                         $1,850 per apartment unit of capital expenditures, inclusive of
                         apartment unit renovation/rehab costs, or $1,250 per apartment unit
                         excluding apartment unit renovation/rehab costs.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                          Equity Residential
                                                                                                                                                                        Discontinued Operations
                                                                                                                                                                        (Amounts in thousands)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                 
                                                                                                                                     Year Ended                                                                                                                                              Quarter Ended
                                                                                                                                    December 31,                                                                                                                                             December 31,
                                                                         ----------------------------------------------------------------------------------------------------------------------------------                     ---------------------------------------------------------------------------------------------------------------------------------------
                                                                                                   2014                                                                        2013                                                                       2014                                                                          2013
                                                                         ---------------------------------------------------------                     ----------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------
                                                                                                                                                                                                                                                                                                               
REVENUES
Rental income                                                                               $          1,309                                           $   121,942                                           $             91                                           $          2,751  
                                                                         -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                               
    Total revenues                                                                  1,309                            121,942                                      91                                   2,751  
                                                                         -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                               
EXPENSES (1)
Property and maintenance                                                                                (141 )                                                                 36,792                                                                           (16 )                                                                       1,221
Real estate taxes and insurance                                                                          267                                                                   11,903                                                                           121                                                                           301
Property management                                                                           --                                                                        1                                                                --                                                                --
Depreciation                                                                                  --                                                                   34,380                                                                --                                                                           516
General and administrative                                                             89                                 85                                      30                                       8  
                                                                         -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                               
    Total expenses                                                                    215                             83,161                                     135                                   2,046  
                                                                         -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                               
Discontinued operating income (loss)                                                                   1,094                                                                   38,781                                                                           (44 )                                                                         705
                                                                                                                                                                                                                                                                                                               
Interest and other income                                                                                317                                                                      217                                                                           165                                                                            61
Other expenses                                                                                --                                                                       (3 )                                                              --                                                                --
Interest (2):
    Expense incurred, net                                                                     --                                                                   (1,296 )                                                              --                                                                           (20 )
    Amortization of deferred financing costs                                                  --                                                                     (228 )                                                              --                                                                --
Income and other tax (expense) benefit                                                 (8 )                                                (449 )                                                        5                                      55  
                                                                         -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                               
Discontinued operations                                                                                1,403                                                                   37,022                                                                           126                                                                           801
Net gain (loss) on sales of discontinued operations                                   179                          2,036,505                                     (44 )                                                   45,928  
                                                                         -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                               
Discontinued operations, net                                                                $          1,582                                           $ 2,073,527                                           $             82                                           $         46,729  
                                                                         ==================== ============== ====================                      ==================== ========= ====================                      ==================== ============== ====================                      ==================== ============== ====================
Note: The amounts included in discontinued operations for the year
and quarter ended December 31, 2014 represent trailing activity for
properties sold in 2013 and prior years.
 
(1) Includes expenses paid in the current period for properties sold
in prior periods related to the Company’s period of ownership.
                                    
(2) Includes only interest expense specific to secured mortgage
notes payable for properties sold.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     Equity Residential
                                                                                                                                                                                                                                     Normalized EBITDA Reconciliations
                                                                                                                                                                                                                                     (Amounts in thousands)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                          
                                                                                                                                                                                                                                     Normalized EBITDA Reconciliations for Page 17
                                                                                                                                                                                                                                                                                                                                                                                                   
                                                                                                                ------------------------------------------------------------------------- ---------------------------------------------------------                     ----------------------------------------------------------------------------- ----------------------------------------------------------------------------- ----------------------------------------------------------------------------- ---------------------------------------------------------                     ---------------------------------------------------------
                                                                                                                                                                      Trailing Twelve Months                                                                                                                                                                                                                 2014                                                                                                                                                                                      2013
                                                                                                                ----------------------------------------------------------------------------------------------------------------------------                            ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------              --------------------                      ------------------------------------------------------
                                                                                                                                  December 31, 2014                                                          September 30, 2014                                                                    Q4                                                                            Q3                                                                            Q2                                                                            Q1                                                                            Q4
                                                                                                                -----------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------
Net income                                                                                                                         $    658,683                                                              $        547,512                                                              $        227,041                                                              $        231,190                                                              $        117,720                                                              $         82,732                                                              $        115,870
Interest expense incurred, net (includes discontinued operations)                                                                       457,191                                                                       496,646                                                                       109,967                                                                       118,251                                                                       115,924                                                                       113,049                                                                       149,422
Amortization of deferred financing costs (includes discontinued                                                                          11,088                                                                        15,115                                                                         2,534                                                                         2,628                                                                         3,134                                                                         2,792                                                                         6,561
operations)
Depreciation (includes discontinued operations)                                                                                         758,861                                                                       749,028                                                                       193,089                                                                       190,469                                                                       190,136                                                                       185,167                                                                       183,256
Income and other tax expense (benefit) (includes discontinued                                                                             1,402                                                                           948                                                                           243                                                                           260                                                                           648                                                                           251                                                                          (211 )
operations)
Archstone direct acquisition costs (other expenses)                                                                                          (1 )                                                                         122                                                                --                                                                             6                                                                            23                                                                           (30 )                                                                         123
Property acquisition costs (other expenses)                                                                                                 355                                                                           388                                                                            77                                                                           135                                                                            94                                                                            49                                                                           110
Write-off of pursuit costs (other expenses)                                                                                               3,607                                                                         3,282                                                                         1,540                                                                           575                                                                         1,040                                                                           452                                                                         1,215
Loss (income) from investments in unconsolidated entities                                                                                 7,952                                                                        10,608                                                                        (2,249 )                                                                       1,176                                                                         7,616                                                                         1,409                                                                           407
Net (gain) loss on sales of land parcels                                                                                                 (5,277 )                                                                      (1,894 )                                                                      (3,431 )                                                                      (1,052 )                                                                        (824 )                                                                          30                                                                           (48 )
(Gain) on sale of investment securities (interest and other income)                                                                         (57 )                                                                      (3,430 )                                                              --                                                                --                                                                           (36 )                                                                         (21 )                                                                      (3,373 )
Write-off of unamortized retail lease intangibles (rental income)                                                                          (147 )                                                                      (2,293 )                                                              --                                                                --                                                                          (147 )                                                              --                                                                        (2,146 )
Forfeited deposits (interest and other income)                                                                                             (150 )                                                              --                                                                          (150 )                                                              --                                                                --                                                                --                                                                --
Insurance/litigation settlement or reserve income (interest and                                                                          (2,793 )                                                                      (2,761 )                                                                         (32 )                                                                        (419 )                                                                      (1,879 )                                                                        (463 )                                                              --
other income)
Insurance/litigation settlement or reserve expense (other expenses)                                                                       4,099                                                                         4,349                                                                --                                                                         4,000                                                                            99                                                                --                                                                           250
Other (interest and other income)                                                                                                          (750 )                                                              --                                                                          (750 )                                                              --                                                                --                                                                --                                                                --
Net (gain) loss on sales of discontinued operations                                                                                        (179 )                                                                     (46,151 )                                                                          44                                                                             1                                                                          (153 )                                                                         (71 )                                                                     (45,928 )
Net (gain) on sales of real estate properties                                                                       (212,685 )                                                 (128,544 )                                                  (84,141 )                              (113,641 )                                                  (14,903 )                                           --                          --  
                                                                                                                -------------------- ---------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- -------------------- -------------------- -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Normalized EBITDA (1)                                                                                                              $  1,681,199                                           $      1,642,925                                           $        443,782                        $        433,579                                           $        418,492                                           $        385,346                                           $        405,508  
                                                                                                                ==================== ========== ====================                      ==================== ============== ====================                      ==================== ============== ==================== ==================== ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
Balance Sheet Items:                                                                                                              December 31, 2014                                                          September 30, 2014
--------------------------------------------------                                                              --------------------------------------------------                        ------------------------------------------------------
Total debt (1)                                                                                                                     $ 10,844,861                                                              $     10,957,606
Cash and cash equivalents                                                                                                               (40,080 )                                                                     (31,478 )
Mortgage principal reserves/sinking funds                                                                            (41,567 )                                                  (39,425 )
                                                                                                                -------------------- ---------- --------------------                      -------------------- -------------- --------------------
Net debt (1)                                                                                                                       $ 10,763,214                                           $     10,886,703  
                                                                                                                ==================== ========== ====================                      ==================== ============== ====================
(1) Normalized EBITDA, total debt to Normalized EBITDA and net debt
to Normalized EBITDA are important metrics in evaluating the credit
strength of the Company and its ability to service its debt
obligations. The Company believes that Normalized EBITDA, total debt
to Normalized EBITDA and net debt to Normalized EBITDA are useful to
investors, creditors and rating agencies because they allow
investors to compare the Company’s credit strength to prior
reporting periods and to other companies without the effect of items
that by their nature are not comparable from period to period and
tend to obscure the Company’s actual credit quality.
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                              Equity Residential
                                                       Normalized FFO Guidance Reconciliations and Non-Comparable Items
                                                                 (Amounts in thousands except per share data)
                                                                        (All per share data is diluted)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                 
                                                                    Normalized FFO Guidance Reconciliations
                                                                                                                                               
                                                                                                                                Normalized
                                                                                                                            FFO Reconciliations
                                                                                                                             Guidance Q4 2014
                                                                                                                             to Actual Q4 2014
                                                                                            ----------------------------------------------------------------------------------
                                                                                                       Amounts                                            Per Share
                                                                                            -----------------------------                     --------------------------------
                     Guidance Q4 2014 Normalized FFO - Diluted (2) (3)                                         $ 311,882                                         $      0.824
                     Property NOI                                                                                 12,715                                                0.034
                     Other                                                                      1,110                             0.002
                                                                                            -------------------- -------                      -------------------- ----------
                                                                                                                                               
                     Actual Q4 2014 Normalized FFO - Diluted (2) (3)                                           $ 325,707                                         $      0.860
                                                                                            ==================== =======                      ==================== ==========
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                                                                     Non-Comparable Items - Adjustments from FFO to Normalized FFO (2)
                                                                                                                                                                                                                                     (3)
                                                                                                                                                                                                                                                                                                                                                                                           
                                                                                                                                                                                                       Year Ended December 31,                                                                                                                                                                                                                 Quarter Ended December 31,
                                                                                                        ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------                     ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                  2014                                                                          2013                                                                        Variance                                                                        2014                                                                          2013                                                                        Variance
                                                                                                        ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------
Impairment                                                                                                                 $ --                                           $ --                                           $ --                                           $ --                                           $ --                                           $ --  
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Asset impairment and valuation allowances                                                                 --                          --                          --                          --                          --                          --  
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
Archstone direct acquisition costs (other expenses) (A)                                                                                  (1 )                                                                      19,864                                                                       (19,865 )                                                              --                                                                           123                                                                          (123 )
Archstone indirect costs (loss (income) from investments in                                                                           4,287                                                                        54,004                                                                       (49,717 )                                                                      (2,083 )                                                                        (777 )                                                                      (1,306 )
unconsolidated entities) (B)
Property acquisition costs (other expenses)                                                                                             355                                                                           313                                                                            42                                                                            77                                                                           110                                                                           (33 )
Write-off of pursuit costs (other expenses)                                                                        3,607                                   5,184                                  (1,577 )                                                    1,540                                   1,215                                     325  
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Property acquisition costs and write-off of pursuit costs                                                          8,248                                  79,365                                 (71,117 )                                                     (466 )                                                      671                                  (1,137 )
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
Prepayment premiums/penalties (interest expense)                                                                                        250                                                                       222,415                                                                      (222,165 )                                                                         250                                                                       150,972                                                                      (150,722 )
Write-off of unamortized deferred financing costs (interest expense)                                                                    614                                                                         9,853                                                                        (9,239 )                                                                          10                                                                         5,727                                                                        (5,717 )
Write-off of unamortized (premiums)/discounts/OCI (interest expense)                                                                 (1,883 )                                                                    (110,538 )                                                                     108,655                                                                        (1,883 )                                                                    (113,789 )                                                                     111,906
(Gain) due to ineffectiveness of forward starting swaps (interest                                                    (91 )                                           --                                     (91 )                                           --                          --                          --  
expense)
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Debt extinguishment (gains) losses, including prepayment penalties,                                               (1,110 )                                                  121,730                                (122,840 )                                                   (1,623 )                                                   42,910                                 (44,533 )
preferred share
redemptions and non-cash convertible debt discounts
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
Net (gain) on sales of land parcels                                                                                                  (5,277 )                                                                     (12,227 )                                                                       6,950                                                                        (3,431 )                                                                         (48 )                                                                      (3,383 )
Net loss on sales of unconsolidated entities - non-operating assets                                                      3,468                                                                --                                                                         3,468                                                                         3,468                                                                --                                                                         3,468
Net incremental (gain) on sales of condominium units                                                                         --                                                                            (8 )                                                                           8                                                                --                                                                            (1 )                                                                           1
(Gain) on sale of Equity Corporate Housing (ECH)                                                                             --                                                                        (1,470 )                                                                       1,470                                                                --                                                                          (761 )                                                                         761
(Gain) on sale of investment securities (interest and other income)                                                  (57 )                                                   (4,203 )                                                    4,146                          --                                  (3,373 )                                                    3,373  
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
(Gains) losses on sales of non-operating assets, net of income and                                                (1,866 )                                                  (17,908 )                                                   16,042                                      37                                  (4,183 )                                                    4,220  
other tax expense (benefit)
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
Write-off of unamortized retail lease intangibles (rental income)                                                                      (147 )                                                                      (2,146 )                                                                       1,999                                                                --                                                                        (2,146 )                                                                       2,146
Forfeited deposits (interest and other income)                                                                                         (150 )                                                              --                                                                          (150 )                                                                        (150 )                                                              --                                                                          (150 )
Insurance/litigation settlement or reserve income (interest and                                                                      (2,793 )                                                              --                                                                        (2,793 )                                                                         (32 )                                                              --                                                                           (32 )
other income)
Insurance/litigation settlement or reserve expense (other expenses)                                                                   4,099                                                                         3,611                                                                           488                                                                --                                                                           250                                                                          (250 )
Other (interest and other income)                                                                                   (750 )                                           --                                    (750 )                                                     (750 )                                           --                                    (750 )
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
Other miscellaneous non-comparable items                                                                             259                                   1,465                                  (1,206 )                                                     (932 )                                                   (1,896 )                                                      964  
                                                                                                        -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                                                                                                                                
                                                                                                        ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------
Non-comparable items - Adjustments from FFO to Normalized FFO (2) (3)                                         $          5,531                                           $        184,652                                           $       (179,121 )                                                            $         (2,984 )                                                            $         37,502                                           $        (40,486 )
                                                                                                        ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================                      ==================== ============== ====================
(A) Archstone direct acquisition costs primarily includes items such
as investment banking and legal/accounting fees that were incurred
directly by the Company.
 
(B) Archstone indirect costs primarily includes the Company’s 60%
share of items such as severance and retention obligations, office
leases and German operations/sales that were incurred indirectly
through the Company’s interest in unconsolidated joint ventures with
AvalonBay.
                                    
Note: See page 28 for the definitions, the footnotes referenced
above and the reconciliations of EPS to FFO and Normalized FFO.
 
-------------------------------------------------------------------
                        Equity Residential
              Normalized FFO Guidance and Assumptions
-------------------------------------------------------------------
     
The guidance/projections provided below are based on current
expectations and are forward-looking. All guidance is given on a
Normalized FFO basis. Therefore, certain items excluded from
Normalized FFO, such as debt extinguishment costs/prepayment
penalties, property acquisition costs and the write-off of pursuit
costs, are not included in the estimates provided on this page. See
page 28 for the definitions, the footnotes referenced below and the
reconciliations of EPS to FFO and Normalized FFO.
                                                                                  
                                                2015 Normalized FFO Guidance (per share
                                                               diluted)
---------------------------------------------------------------------------------------------------------------------------------
                                                                                                       
                                                                      Q1 2015                                       2015
                                                                  --------------                      --------------------------------
                                                                                                       
Expected Normalized FFO (2) (3)                                   $0.77 to $0.81                               $3.35 to $3.45
                                                                                                       
                                                      2015 Same Store Assumptions
---------------------------------------------------------------------------------------------------------------------------------
                                                                                                       
Physical occupancy                                                                                                  95.8%
Revenue change                                                                                                  3.75% to 4.5%
Expense change                                                                                                  2.5% to 3.5%
NOI change                                                                                                      4.0% to 5.5%
                                                                                                       
(Note: Approximately 25 basis point change in NOI percentage = $0.01
per share change in EPS/FFO/Normalized FFO)
                                                                                                       
                                                     2015 Transaction Assumptions
---------------------------------------------------------------------------------------------------------------------------------
                                                                                                       
Consolidated rental acquisitions                                                                               $500.0 million
Consolidated rental dispositions                                                                               $500.0 million
Capitalization rate spread                                                                                    100 basis points
                                                                                                       
                                                         2015 Debt Assumptions
---------------------------------------------------------------------------------------------------------------------------------
                                                                                                       
Weighted average debt outstanding                                                                      $10.8 billion to $11.1 billion
Weighted average interest rate (reduced for capitalized interest)                                                   4.10%
Interest expense, net                                                                                 $442.8 million to $455.1 million
                                                                                                       
                                                    2015 Other Guidance Assumptions
---------------------------------------------------------------------------------------------------------------------------------
                                                                                                       
General and administrative expense (see Note below)                                                    $51.0 million to $53.0 million
Interest and other income                                                                                       $0.5 million
Income and other tax expense                                                                            $1.0 million to $1.5 million
Debt offerings                                                                                                 $950.0 million
Equity ATM share offerings                                                                                   No amounts budgeted
Preferred share offerings                                                                                    No amounts budgeted
Weighted average Common Shares and Units - Diluted                                                              380.6 million
Note: Normalized FFO guidance excludes a duplicative charge of
approximately $11.0 million, of which $9.7 million will be recorded
to general and administrative expense and $1.3 million will be
recorded to property management expense, related to the Company’s
revised executive compensation program.
                                                                
-------------------- ------------------------------------------------------------------- -------------------- -------------------- -------------------- -------------------- -------------------- -------------------- --------------------
                                                                                                             Equity Residential
                                                                                            Additional Reconciliations, Definitions and Footnotes
                                                                                                (Amounts in thousands except per share data)
                                                                                                       (All per share data is diluted)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                          
                                                                                        The guidance/projections provided below are based on current
                                                                                                    expectations and are forward-looking.
                                                                                                                                                                                                                        
                                                                                      Reconciliations of EPS to FFO and Normalized FFO for Pages 6, 26
                                                                                                                   and 27
                                                                                                                                                                                                                        
                                                                                                                                                                                   Expected                                  Expected
                                                                                                                Expected Q4 2014                                                    Q1 2015                                    2015
                                                                                                Amounts                                  Per Share                                 Per Share                                 Per Share
                                                                                         --------------------                      --------------------                      --------------------                      --------------------
                                                                                                                                                                                                                        
                     Expected Earnings - Diluted (5)                                                $ 220,095                                   $ 0.582                         $0.70 to $0.74                            $1.86 to $1.96
                     Add: Expected depreciation expense                                               192,181                                     0.508                              0.51                                      2.12
                     Less: Expected net gain on sales (5)                                           (101,557)                                   (0.269)                             (0.41)                                    (0.64)
                                                                                         --------------------                      --------------------                      --------------------                      --------------------
                                                                                                                                                                                                                        
                     Expected FFO - Diluted (1) (3)                                                   310,719                                     0.821                          0.80 to 0.84                              3.34 to 3.44
                                                                                                                                                                                                                        
                     Asset impairment and valuation allowances                                 --                            --                         --                            --
                     Property acquisition costs and write-off of pursuit costs                          1,163                                     0.003                             (0.04)                                    (0.02)
                     Debt extinguishment (gains) losses, including prepayment penalties,       --                            --                         --                            --
                     preferred share redemptions and non-cash convertible debt discounts
                     (Gains) losses on sales of non-operating assets, net of income and        --                            --                         --                            --
                     other tax
                     expense (benefit)
                     Other miscellaneous non-comparable items                                  --                            --                              0.01                                      0.03
                                                                                         --------------------                      --------------------                      --------------------                      --------------------
                                                                                                                                                                                                                        
                     Expected Normalized FFO - Diluted (2) (3)                                      $ 311,882                                   $ 0.824                         $0.77 to $0.81                            $3.35 to $3.45
                                                                                         ====================                      ====================                      ====================                      ====================
                                          Definitions and Footnotes for Pages 6, 26 and 27
              
         (1)                      The National Association of Real Estate Investment Trusts ("NAREIT")
                                  defines funds from operations ("FFO") (April 2002 White Paper) as
                                  net income (computed in accordance with accounting principles
                                  generally accepted in the United States ("GAAP")), excluding gains
                                  (or losses) from sales and impairment write-downs of depreciable
                                  operating properties, plus depreciation and amortization, and after
                                  adjustments for unconsolidated partnerships and joint ventures.
                                  Adjustments for unconsolidated partnerships and joint ventures will
                                  be calculated to reflect funds from operations on the same basis.
                                  The April 2002 White Paper states that gain or loss on sales of
                                  property is excluded from FFO for previously depreciated operating
                                  properties only. Once the Company commences the conversion of
                                  apartment units to condominiums, it simultaneously discontinues
                                  depreciation of such property.
                                                                                            
         (2)                      Normalized funds from operations ("Normalized FFO") begins with FFO
                                  and excludes:
                                  ? the impact of any expenses relating to non-operating asset
                                  impairment and valuation allowances;
                                  ? property acquisition and other transaction costs related to
                                  mergers and acquisitions and pursuit cost write-offs;
                                  ? gains and losses from early debt extinguishment, including
                                  prepayment penalties, preferred share redemptions and the cost
                                  related to the implied option value of non-cash convertible debt
                                  discounts;
                                  ? gains and losses on the sales of non-operating assets, including
                                  gains and losses from land parcel and condominium sales, net of the
                                  effect of income tax benefits or expenses; and
                                  ? other miscellaneous non-comparable items.
                                                                                            
         (3)                      The Company believes that FFO and FFO available to Common Shares and
                                  Units are helpful to investors as supplemental measures of the
                                  operating performance of a real estate company, because they are
                                  recognized measures of performance by the real estate industry and
                                  by excluding gains or losses related to dispositions of depreciable
                                  property and excluding real estate depreciation (which can vary
                                  among owners of identical assets in similar condition based on
                                  historical cost accounting and useful life estimates), FFO and FFO
                                  available to Common Shares and Units can help compare the operating
                                  performance of a company’s real estate between periods or as
                                  compared to different companies. The Company also believes that
                                  Normalized FFO and Normalized FFO available to Common Shares and
                                  Units are helpful to investors as supplemental measures of the
                                  operating performance of a real estate company because they allow
                                  investors to compare the Company’s operating performance to its
                                  performance in prior reporting periods and to the operating
                                  performance of other real estate companies without the effect of
                                  items that by their nature are not comparable from period to period
                                  and tend to obscure the Company’s actual operating results. FFO, FFO
                                  available to Common Shares and Units, Normalized FFO and Normalized
                                  FFO available to Common Shares and Units do not represent net
                                  income, net income available to Common Shares or net cash flows from
                                  operating activities in accordance with GAAP. Therefore, FFO, FFO
                                  available to Common Shares and Units, Normalized FFO and Normalized
                                  FFO available to Common Shares and Units should not be exclusively
                                  considered as alternatives to net income, net income available to
                                  Common Shares or net cash flows from operating activities as
                                  determined by GAAP or as a measure of liquidity. The Company’s
                                  calculation of FFO, FFO available to Common Shares and Units,
                                  Normalized FFO and Normalized FFO available to Common Shares and
                                  Units may differ from other real estate companies due to, among
                                  other items, variations in cost capitalization policies for capital
                                  expenditures and, accordingly, may not be comparable to such other
                                  real estate companies.
                                                                                            
         (4)                      FFO available to Common Shares and Units and Normalized FFO
                                  available to Common Shares and Units are calculated on a basis
                                  consistent with net income available to Common Shares and reflects
                                  adjustments to net income for preferred distributions and premiums
                                  on redemption of preferred shares in accordance with accounting
                                  principles generally accepted in the United States. The equity
                                  positions of various individuals and entities that contributed their
                                  properties to the Operating Partnership in exchange for OP Units are
                                  collectively referred to as the "Noncontrolling Interests -
                                  Operating Partnership". Subject to certain restrictions, the
                                  Noncontrolling Interests - Operating Partnership may exchange their
                                  OP Units for Common Shares on a one-for-one basis.
                                                                                            
         (5)                      Earnings represents net income per share calculated in accordance
                                  with accounting principles generally accepted in the United States.
                                  Expected earnings is calculated on a basis consistent with actual
                                  earnings. Due to the uncertain timing and extent of property
                                  dispositions and the resulting gains/losses on sales, actual
                                  earnings could differ materially from expected earnings.
                                                                                                                                                          Same Store NOI Reconciliation for Page 10
                                                                                                                                                                                                                       
The following tables present reconciliations of operating income per
the consolidated statements of operations to NOI for the 2014 and
the Fourth Quarter 2014 Same Store Properties:
                                                                                                                                                                                                                                                                                                     
                                                                                                                     Year Ended December 31,                                                                                                             Quarter Ended December 31,
                                                               ------------------------------------------------------------------------------------------------------------------------------------------------------ ---------------------------------------------------------------------------------------------------------------------------------------
                                                                                         2014                                                                        2013                                                                       2014                                                                          2013
                                                               ---------------------------------------------------------                     ----------------------------------------------------                     ---------------------------------------------------------                     ---------------------------------------------------------
                                                                                                                                                                                                                                                                                                     
Operating income                                                                  $        921,375                                                              $   512,322                                                              $        250,532                                                              $        223,677
Adjustments:
                     Archstone pre-ownership operating results                      --                                                                   55,694                                                                --                                                                --
                     Non-same store operating results                                      (81,940 )                                                                (47,445 )                                                                     (23,615 )                                                                     (17,449 )
                     Fee and asset management revenue                                       (9,437 )                                                                 (9,698 )                                                                      (1,841 )                                                                      (2,299 )
                     Fee and asset management expense                                        5,429                                                                    6,460                                                                         1,136                                                                         1,721
                     Depreciation                                                          758,861                                                                  978,973                                                                       193,089                                                                       182,740
                     General and administrative                          50,948                             62,179                                   9,652                                  15,162  
                                                               -------------------- -------------- --------------------                      -------------------- --------- --------------------                      -------------------- -------------- --------------------                      -------------------- -------------- --------------------
                                                                                                                                                                                                                                                                                                     
Same store NOI                                                                    $      1,645,236                                           $ 1,558,485                                           $        428,953                                           $        403,552  
                                                               ==================== ============== ====================                      ==================== ========= ====================                      ==================== ============== ====================                      ==================== ============== ====================

http://cts.businesswire.com/ct/CT?id=bwnews&sty=20150203006785r1&sid=cmtx6&distro=nx&lang=en

SOURCE: Equity Residential

Equity Residential 
Marty McKenna, 312-928-1901


Register |  Password |  Feedback |  Copyright |  Usage Agreement |  Privacy Policy |  Advertising |  About Us |  Contact Us |  FAQ 

Past performance is not indicative of future results

StockSelector.com, the StockSelector.com logo, and News Selects are trademarks of StockSelector.com.
Copyright © 1998 - 2017 StockSelector.com. All rights reserved.