EFTA01388621.pdf

18 October 2016 REITs US REIT 3O16 Earnings Preview [Figure 96: MPW 3O16 results preview sew 8016 201O 30I Snip a amr ow car Itte90 0ide Porn loss. DIM r. - r. 1' 74 081.16•0 Mast* a a Ode 1.30 Odds Pee )00tele Cde •I t -,, 4N A.,,.. to. itt/t.4 I t. itO Morel- Ler, TOM, t.".-Oot ,tatat.I.:Or,kt I ttttoolt 31. 3O" tio . w ior.... ..n it If t.-/O P. C fl out , - oc., •.. tv...... col Updated sector outlooks for acute care hospitals, freestanding emergency rooms, long-term acute care hospitals, and inpatient rehab facilities • Additional details on the Steward acquisition and future growth potential stemming from the new relationship with Steward and Cerberus • Comments on the pace of $300MM in Median acquisitions and expected timing (2016 closings vs. 2017) Updated investment outlook and which assets/regions are most attractive for capital deployment. With our pro-forma net debt-to-EBITDA of roughly 5.0x we believe MPW has plenty of dry powder to make accretive investments Disposition update and plans to sell additional LTACHs (7% exposure as of last O's call) a Development pipeline update as $62MM of freestanding ER completions are scheduled for 3O16 Operator/tenant update, most notably comments on Prime Healthcare (on-going DOJ lawsuit) and Adeptus Health (views on recent freestanding ER scrutiny) Update on EBITDAR rent coverage (reported on a 1-Q lag) and the impact of 2O16 LTACH and IRF sales on coverage ratios • After updating our model to reflect the Steward deal and related financing activity, our 2016 norm FFO/sh estimate remains unchanged at $1.29 (vs. $1.29.51.33 guidance). Our 2017 norm FFO/sh moves to $1.39 from $1.32. Our norm FAD/sh estimates move to $1.17 (from $1.16) in 2016 and to $1.29 (from $1.20) in 2017. Please see Figure 98 for a summary of our full year estimate revisions SOL/Ct DetAICIV &felt ecoroarydast Thomsen Deutsche Bank Securities Inc. Page 53 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0092273 CONFIDENTIAL SDNY_GM_00238457 EFTA01388621