Consolidated Financial Statements and Notes - Brookfield Asset ...

During 2004, the company’s real estate operations issued 8,000,000 Class AAA, Series J preferred shares and 6,000,000 Class AAA,Series K preferred shares for total cash proceeds of C$350 million.Earliest Permitted Company’s Holder’sClass AAA Preferred Shares Redemption Date Conversion Option Conversion OptionSeries F September 30, 2009 September 30, 2009 March 31, 2013Series G June 30, 2011 June 30, 2011 September 30, 2015Series H December 31, 2011 December 31, 2011 December 31, 2015Series I December 31, 2008 December 31, 2008 December 31, 2010Series J June 30, 2010 June 30, 2010 December 31, 2014Series K December 31, 2012 December 31, 2012 December 31, 201612. NON-CONTROLLING INTERESTS IN NET ASSETSNon-controlling interests represent the common and preferred equity in consolidated entities that is owned by othershareholders.MILLIONS 2005 2004Common equityProperty operations $ 1,196 $ 1,226Power generation 213 194Timberlands and infrastructure 257 —Other 143 1101,809 1,530Preferred equity 175 250Total $ 1,984 $ 1,78013. PREFERRED EQUITYThe following Class A preferred shares are issued and outstanding:Class A Preferred SharesIssued and OutstandingRate Term 2005 2004 2005 2004(MILLIONS)Series 2 70% P Perpetual 10,465,100 10,465,100 $ 169 $ 169Series 3 1 B.A. + 40 b.p. Perpetual — 1,171 — 75Series 4 70% P/8.5% Perpetual 2,800,000 2,800,000 45 45Series 8 Variable up to P Perpetual 1,049,792 1,049,792 17 17Series 9 5.63% Perpetual 2,950,208 2,950,208 47 47Series 13 70% P Perpetual 9,297,700 9,297,700 195 195Series 15 B.A. + 40 b.p. 2 Perpetual 2,000,000 2,000,000 42 421 Redeemed November 8, 20052 Rate determined in a quarterly auctionP – Prime Rate B.A. – Banker’s Acceptance Rate b.p. – Basis Points$ 515 $ 590The company is authorized to issue an unlimited number of Class A preferred shares and an unlimited number of Class AA preferredshares, issuable in series. No Class AA preferred shares have been issued.The Class A preferred shares have preference over the Class AA preferred shares, which in turn are entitled to preference overthe Class A and Class B common shares on the declaration of dividends and other distributions to shareholders. All series of theoutstanding preferred shares have a par value of C$25 per share, except the Class A, Series 3 preferred shares which had a parvalue of C$100,000 per share.Brookfield Asset Management | 2005 Annual Report 79