Kilroy

Where Innovation Works

Press Room Release

Kilroy Realty Announces Tax Treatment of 2006 Dividend Distributions

Printer Friendly Version View printer-friendly version
<< Back

LOS ANGELES--(BUSINESS WIRE)--Jan. 9, 2007--Kilroy Realty Corporation (NYSE:KRC) announced today the tax treatment of its 2006 dividend distributions. The Company's total dividend distributions per share of common stock (CUSIP #49427F108) are to be classified for income tax purposes as follows:

                                                            2006
                         Total          2006 Taxable    Total Capital
 Record   Payable    Distribution per     Ordinary          Gain
   Date      Date         Share            Dividend      Distribution
--------- --------- ----------------- ----------------- -------------
12/30/05   1/18/06          $.510000          $.112146     $. 000708
--------- --------- ----------------- ----------------- -------------
 3/31/06   4/18/06           .530000           .116544       .000736
--------- --------- ----------------- ----------------- -------------
 6/30/06   7/18/06           .530000           .116544       .000736
--------- --------- ----------------- ----------------- -------------
 9/29/06  10/18/06           .530000           .116544       .000736
--------- --------- ----------------- ----------------- -------------

 Record   Payable   2006 Unrecaptured Section
   Date      Date          1250 Gain(1)        2006 Return of Capital
--------- --------- ------------------------- ------------------------
12/30/05   1/18/06                         -                 $.397146
--------- --------- ------------------------- ------------------------
 3/31/06   4/18/06                         -                  .412720
--------- --------- ------------------------- ------------------------
 6/30/06   7/18/06                         -                  .412720
--------- --------- ------------------------- ------------------------
 9/29/06  10/18/06                         -                  .412720
--------- --------- ------------------------- ------------------------
(1) Unrecaptured Section 1250 Gain is a subset of, and is included in,
 the Total Capital Gain Distribution amount.

The dividend distributions being made to holders of record as of December 29, 2006 and being paid on January 18, 2007 are considered 2007 dividend distributions for federal income tax purposes.

The Company's total dividend distributions per share of Series E cumulative redeemable perpetual preferred stock (CUSIP #49427F405) are to be classified for income tax purposes as follows:

                                                            2006
                             Total        2006 Taxable  Total Capital
             Payable     Distribution per   Ordinary        Gain
Record Date     Date          Share          Dividend    Distribution
----------- ----------- ----------------- ------------- -------------
 1/31/2006   2/15/2006          $.487500      $.484592      $.002908
----------- ----------- ----------------- ------------- -------------
 4/28/2006   5/15/2006           .487500       .484592       .002908
----------- ----------- ----------------- ------------- -------------
 7/31/2006   8/15/2006           .487500       .484592       .002908
----------- ----------- ----------------- ------------- -------------
10/31/2006  11/15/2006           .487500       .484592       .002908
----------- ----------- ----------------- ------------- -------------

             Payable      2006 Unrecaptured
Record Date     Date      Section 1250 Gain(1)  2006 Return of Capital
----------- ----------- ----------------------- ----------------------
 1/31/2006   2/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------
 4/28/2006   5/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------
 7/31/2006   8/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------
10/31/2006  11/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------

(1) Unrecaptured Section 1250 Gain is a subset of, and is included in, the Total Capital Gain Distribution amount.

The Company's total dividend distributions per share of Series F cumulative redeemable perpetual preferred stock (CUSIP #49427F504) are to be classified for income tax purposes as follows:

                                                            2006
                             Total        2006 Taxable  Total Capital
             Payable     Distribution per   Ordinary        Gain
Record Date     Date          Share          Dividend    Distribution
----------- ----------- ----------------- ------------- -------------
 1/31/2006   2/15/2006          $.468750      $.465954      $.002796
----------- ----------- ----------------- ------------- -------------
 4/28/2006   5/15/2006           .468750       .465954       .002796
----------- ----------- ----------------- ------------- -------------
 7/31/2006   8/15/2006           .468750       .465954       .002796
----------- ----------- ----------------- ------------- -------------
10/31/2006  11/15/2006           .468750       .465954       .002796
----------- ----------- ----------------- ------------- -------------

             Payable      2006 Unrecaptured
Record Date     Date      Section 1250 Gain(1)  2006 Return of Capital
----------- ----------- ----------------------- ----------------------
 1/31/2006   2/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------
 4/28/2006   5/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------
 7/31/2006   8/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------
10/31/2006  11/15/2006                       -                      -
----------- ----------- ----------------------- ----------------------

(1) Unrecaptured Section 1250 Gain is a subset of, and is included in, the Total Capital Gain Distribution amount.

Stockholders are encouraged to consult with their tax advisors as to their specific tax treatment for Kilroy Realty Corporation common and preferred distributions.

Kilroy Realty Corporation, a member of the S&P Small Cap 600 Index, is a Southern California-based real estate investment trust active in the office and industrial property sectors. For more than 50 years the company has owned, developed, acquired and managed real estate assets, primarily in the coastal regions of California and Washington. Kilroy Realty currently has an in-process development and redevelopment pipeline of approximately 1.2 million square feet of office space in Los Angeles and San Diego counties. At September 30, 2006, the company owned 7.8 million rentable square feet of commercial office space and 4.2 million rentable square feet of industrial space. More information is available at www.kilroyrealty.com.

CONTACT: Kilroy Realty Corporation
Richard E. Moran Jr.
Executive Vice President and Chief Financial Officer
310-481-8483
or
Tyler H. Rose
Senior Vice President and Treasurer
310-481-8484

SOURCE: Kilroy Realty Corporation