CyrusOne Reports Fourth Quarter and Full Year 2013 Earnings

  CyrusOne Reports Fourth Quarter and Full Year 2013 Earnings       Revenue Growth of 25% for fourth quarter and 19% for full year 2013  Business Wire  DALLAS -- February 19, 2014  Global data center service provider CyrusOne Inc. (NASDAQ:CONE), which specializes in providing highly reliable enterprise-class, carrier-neutral data center properties to the Fortune 1000, today announced fourth quarter and full year 2013 earnings.  Highlights    *Fourth quarter revenue of $72.3 million increased 25% over the fourth     quarter of 2012   *2013 full year revenue of $263.5 million increased 19% over 2012   *Fourth quarter Normalized FFO of $23.6 million and AFFO of $20.8 million ^     increased 40% and 54%, respectively, over the fourth quarter of 2012   *2013 full year Normalized FFO of $78.7 million and AFFO of $72.4 million     increased 17% and 36%, respectively, over 2012   *Fourth quarter Adjusted EBITDA of $39.9 million and full year Adjusted     EBITDA of $138.7 million increased 40% and 20%, respectively, over fourth     quarter and full year 2012   *Announcing a 31% increase in the quarterly dividend for the first quarter     of 2014 to $0.21 per share on common shares and common share equivalents,     up from $0.16 per share in 2013   *Purchased 14 acres of land in Northern Virginia, establishing a presence     on the East Coast, and 22 acres in Austin for future data center expansion   *Leased 47,000 colocation square feet in the fourth quarter, with     utilization remaining high at 85%  “CyrusOne had a tremendous first year as a public company, with strong revenue and Adjusted EBITDA growth, additions of more than 100 logos and the successful rollout of our National IX platform” said Gary Wojtaszek, president and chief executive officer of CyrusOne. “We are also excited to announce the transaction in Northern Virginia, which supports our strategy of growing our Fortune 1000 customer base by providing a presence on the East Coast and enhancing the geographic diversity of our portfolio.”  Fourth Quarter 2013 Financial Results  Revenue was $72.3 million for the fourth quarter, compared to $58.0 million for the same period in 2012, or an increase of 25%. Operating income improved $5.8 million from the fourth quarter of 2012, as a $14.3 million increase in revenue and a $1.4 million decrease in non-recurring costs were partially offset by increases in depreciation and amortization of $6.2 million, and property operating expenses of $3.7 million. Net loss was $3.8 million for the fourth quarter, compared to a net loss of $6.9 million for the same period in 2012.  Net operating income (NOI)^1 was $48.0 million for the fourth quarter, compared to $37.4 million in the same period in 2012, an increase of 28%. The increase in NOI was driven by the increase in revenue, partially offset by additional property operating costs from new facilities and expansions at existing facilities. Adjusted EBITDA^2 was $39.9 million for the fourth quarter, compared to $28.4 million in the same period in 2012, an increase of 40%. The Adjusted EBITDA margin of 55.2% in the fourth quarter improved from 49.0% in the same period in 2012 as Sales, General and Administrative expenses were flat year-over-year.  Normalized Funds From Operations (Normalized FFO)^3 was $23.6 million for the fourth quarter, compared to $16.8 million in the same period in 2012, an increase of 40%. The increase in Normalized FFO was primarily due to growth in Adjusted EBITDA. Normalized FFO per diluted common share or common share equivalent^4 was $0.37 in the fourth quarter of 2013. Adjusted Funds From Operations (AFFO)^5 was $20.8 million for the fourth quarter, compared to $13.5 million in the same period in 2012, an increase of 54%.  Full Year 2013 Financial Results  Revenue for the full year was $263.5 million, compared to $220.8 million in 2012, an increase of 19%. Net loss for the full year was $35.8 million compared to $20.3 million in 2012. The Company’s higher Adjusted EBITDA and lower asset impairments were offset by higher depreciation and amortization, transaction-related compensation and income tax expenses.  Adjusted EBITDA increased 20% to $138.7 million from $115.3 million in 2012. Normalized FFO for the full year increased to $78.7 million in 2013 from $67.4 million in 2012, an increase of 17%. AFFO for the full year was $72.4 million, an increase of 36% from $53.2 million in 2012.  Leasing Activity  CyrusOne leased approximately 47,000 colocation square feet (CSF) or 7.3 MW of power in the fourth quarter. The company added one new Fortune 1000^6 customer in the fourth quarter, bringing the total to 129 customers in the Fortune 1000 and 612 customers in total as of December 31, 2013. The weighted average lease term of the new leases based on square footage was 43 months, and approximately 74% of the CSF was leased to metered customers with the remainder leased on a full service basis. Recurring rent churn^7 for the fourth quarter of 2013 was 1.1%, compared to 0.6% for the fourth quarter of 2012. Approximately 85% of the new leases this quarter included CyrusOne National IX services. CyrusOne is also pleased to announce that it is the first data center provider to receive multi-site data center certification from the Open-IX Association as six of its data centers in Cincinnati, Houston, Dallas, Phoenix and Austin are now certified.  Portfolio Utilization and Development  As of December 31, 2013, CyrusOne had approximately 1,052,000 CSF across 25 facilities, an increase of approximately 120,000, or 13%, from a year ago. In the fourth quarter of 2013, the company commissioned the second data hall at its Carrollton facility near Dallas adding 60,000 CSF. CSF utilization^8 for the fourth quarter was 85%, compared to 78% in the same period in 2012. During the quarter, the Company purchased 14 acres of land in Northern Virginia and plans to commence construction in early 2014 with completion expected in the fourth quarter. This purchase is CyrusOne’s first expansion into the East Coast, and represents the Company’s commitment to enhancing the geographic diversity of its portfolio to support its strategy of being the preferred data center provider for Fortune 1000 enterprises. The Company also purchased 22 acres of land in Austin during the quarter for future expansion within that market, and started construction on the 22 acres of land in San Antonio that was acquired in the third quarter. The first phase of construction for this facility is expected to be completed in the fourth quarter of 2014.  Balance Sheet and Liquidity  As of December 31, 2013, the company had $525.0 million of long term debt, cash of $148.8 million, and an undrawn $225.0 million senior secured revolving credit facility. Net debt^9 was $392.9 million as of December 31, 2013, or approximately 21% of the company's total enterprise value or 2.5x Adjusted EBITDA annualized. Available liquidity^10 was $373.8 million as of December 31, 2013.  Dividend  On December 11, 2013, the company announced a dividend of $0.16 per share of common shares and common share equivalents for the fourth quarter of 2013. The dividend was paid on January 10, 2014, to shareholders of record at the close of business on December 27, 2013.  Additionally, today the company is announcing that its Board of Directors has authorized a 31% increase in the cash dividend which will now be $0.21 per share on the company’s common shares and common share equivalents. The dividend will be paid on April 15, 2014, to shareholders of record at the close of business on March 28, 2014.  Guidance  CyrusOne is issuing the following guidance for full year 2014:  Category                                2013 Results   2014 Guidance Revenue                                   $263 million     $305 - $315 million Adjusted EBITDA                           $139 million     $160 - $165 million Normalized FFO per diluted common         $1.22            $1.55 - $1.65 share or common share equivalent Capital Expenditures Development*                              $216 million     $275 - $300 million Recurring                                 $4 million       $5 - $10 million Acquisition of leased facilities**        $28 million      -   *   Development capital is inclusive of capital used for the acquisition of      land for future development.      Of the $28.2 million paid for the acquisition of previously leased **   properties, $8.4 million is presented as capital expenditures in the GAAP      cash flow statement and $19.8 million is presented as repayment of debt.        The annual guidance provided above represents forward-looking statements, which are based on current economic conditions, internal assumptions about the company's existing customer base and the supply and demand dynamics of the markets in which CyrusOne operates.  Upcoming Conferences and Events    *Citi Global Property CEO Conference on March 2-5 in Palm Beach   *Oppenheimer 7^th Annual Cloud Services 1-on-1 Conference on March 6 in New     York City  Conference Call Details  CyrusOne will host a conference call on February 20, 2014, at 8:00 AM Eastern Time (7:00 AM Central Time) to discuss its results for the fourth quarter and full year of 2013. A live webcast of the conference call will also be available on the investor relations page of the company's website at http://investor.cyrusone.com/index.cfm. The U.S. conference call dial-in number is 1-866-652-5200, and the international dial-in number is 1-412-317-6060. Passcode for the call is 10039875. A replay will be available one hour after the conclusion of the earnings call on February 20, 2014, until 9:00 AM (ET) on February 28, 2014. The U.S. toll-free replay dial-in number is 1-877-344-7529 and the international replay dial-in number is 1-412-317-0088. Replay passcode is 10039875. An archived version of the webcast will also be available on the investor relations page of the company's website at http://investor.cyrusone.com/index.cfm.  Safe Harbor  This release and the documents incorporated by reference herein contain forward-looking statements regarding future events and our future results that are subject to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are statements that could be deemed forward-looking statements. These statements are based on current expectations, estimates, forecasts, and projections about the industries in which we operate and the beliefs and assumptions of our management. Words such as "expects," "anticipates," "predicts," "projects," "intends," "plans," "believes," "seeks," "estimates," "continues," "endeavors," "strives," "may," variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, any statements that refer to projections of our future financial performance, our anticipated growth and trends in our businesses, and other characterizations of future events or circumstances are forward-looking statements. Readers are cautioned these forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially and adversely from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in this release and those discussed in other documents we file with the Securities and Exchange Commission (SEC). More information on potential risks and uncertainties is available in our recent filings with the SEC, including CyrusOne's Form 10K report and Form 8-K reports. Actual results may differ materially and adversely from those expressed in any forward-looking statements. We undertake no obligation to revise or update any forward-looking statements for any reason.  Use of Non-GAAP Financial Measures  This press release contains certain non-GAAP financial measures that management believes are helpful in understanding the company's business, as further discussed within this press release. These financial measures, which include Funds From Operations, Normalized Funds From Operations, Adjusted EBITDA, Net Operating Income and Net debt should not be construed as being more important than comparable GAAP measures. Detailed reconciliations of these non-GAAP financial measures to comparable GAAP financial measures have been included in the tables that accompany this release and are available in the Investor Relations section of www.cyrusone.com.  ^1Net Operating Income (NOI) is defined as revenue less property operating expenses. Amortization of deferred leasing costs is presented in depreciation and amortization, which is excluded from NOI. CyrusOne has not historically incurred any tenant improvement costs. Our sales and marketing costs consist of salaries and benefits for our internal sales staff, travel and entertainment, office supplies, marketing and advertising costs. General and administrative costs include salaries and benefits of our senior management and support functions, legal and consulting costs, and other administrative costs. Marketing and advertising costs are not property specific, rather these costs support our entire portfolio. As a result, we have excluded these marketing and advertising costs from our NOI calculation, consistent with the treatment of general and administrative costs, which also support our entire portfolio.  ^2Adjusted EBITDA is defined as net (loss) income as defined by U.S. GAAP before noncontrolling interests plus interest expense, income tax (benefit) expense, depreciation and amortization, non-cash compensation, transaction costs and transaction-related compensation, including acquisition pursuit costs, loss on sale of receivables to affiliate, restructuring costs, loss on extinguishment of debt, asset impairments, (gain) loss on sale of real estate improvements, and other special items. Other companies may not calculate Adjusted EBITDA in the same manner. Accordingly, the company's Adjusted EBITDA as presented may not be comparable to others.  ^3Normalized Funds From Operations (Normalized FFO) is defined as Funds From Operations (FFO) plus transaction costs, including acquisition pursuit costs, transaction-related compensation, (gain) loss on extinguishment of debt, restructuring costs and other special items. FFO is net (loss) income computed in accordance with U.S. GAAP before noncontrolling interests, (gain) loss from sales of real estate improvements, real estate-related depreciation and amortization, amortization of customer relationship intangibles, and real estate and customer relationship intangible impairments. Because the value of the customer relationship intangibles is inextricably connected to the real estate acquired, CyrusOne believes the amortization and impairments of such intangibles is analogous to real estate depreciation and impairments; therefore, the company adds the customer relationship intangible amortization and impairments back for similar treatment with real estate depreciation and impairments. CyrusOne's customer relationship intangibles are primarily associated with the acquisition of Cyrus Networks in 2010 and, at the time of acquisition, represented 22% of the value of the assets acquired. The company believes its Normalized FFO calculation provides a comparable measure to others in the industry.  ^4Normalized FFO per diluted common share or common share equivalent is defined as Normalized FFO divided by the average diluted common shares and common share equivalents outstanding for the quarter, which were 64,594,155 for the fourth quarter of 2013.  ^5Adjusted Funds From Operations (AFFO) is defined as Normalized FFO plus amortization of deferred financing costs, non-cash compensation, and non-real estate depreciation and amortization, less deferred revenue and straight line rent adjustments, leasing commissions, recurring capital expenditures, and non-cash corporate income tax benefit and expense.  Management uses FFO, Normalized FFO, Adjusted EBITDA, NOI and AFFO as supplemental performance measures because they provide performance measures that, when compared year over year, capture trends in occupancy rates, rental rates and operating costs. The company also believes that, as widely recognized measures of the performance of real estate investment trusts (REITs) and other companies, these measures will be used by investors as a basis to compare its operating performance with that of other companies. Other companies may not calculate these measures in the same manner, and, as presented, they may not be comparable to others. Therefore, FFO, Normalized FFO, NOI, AFFO and Adjusted EBITDA should be considered only as supplements to net income as measures of our performance. FFO, Normalized FFO, NOI, AFFO and Adjusted EBITDA should not be used as measures of liquidity or as indicative of funds available to fund the company's cash needs, including the ability to make distributions. These measures also should not be used as supplements to or substitutes for cash flow from operating activities computed in accordance with U.S. GAAP.  ^6Fortune 1000 customers include subsidiaries whose ultimate parent is a Fortune 1000 company or a foreign or private company of equivalent size.  ^7Recurring rent churn is calculated as any reduction in recurring rent due to customer terminations, service reductions or net pricing decreases as a percentage of annualized rent at the beginning of the period, excluding any impact from metered power reimbursements or other usage-based billing.  ^8Utilization is calculated by dividing CSF under signed leases for available space (whether or not the contract has commenced billing) by total CSF. Utilization rate differs from percent leased presented in the Data Center Portfolio table because utilization rate excludes office space and supporting infrastructure net rentable square footage and includes CSF for signed leases that have not commenced billing. Management uses utilization rate as a measure of CSF leased.  ^9Net debt provides a useful measure of liquidity and financial health. The company defines net debt as long-term debt and capital lease obligations, offset by cash, cash equivalents, and temporary cash investments.  ^10Liquidity is calculated as cash, cash equivalents, and temporary cash investments on hand plus the undrawn capacity on CyrusOne's revolving credit facility.  About CyrusOne  CyrusOne (NASDAQ:CONE) specializes in highly reliable enterprise-class, carrier-neutral data center properties. The company provides mission-critical data center facilities that protect and ensure the continued operation of IT infrastructure for more than 600 customers, including nine of the Fortune 20 and more than 125 of the Fortune 1000 companies.  CyrusOne's data center offerings provide the flexibility, reliability, and security that enterprise customers require and are delivered through a tailored, customer service-focused platform designed to foster long-term relationships. CyrusOne is committed to full transparency in communication, management, and service delivery throughout its 25 data centers worldwide.   CyrusOne Inc. Combined Statements of Operations (Dollars and shares in millions, except per share amounts) (Unaudited)                        Three Months                                Twelve Months Ended                                          Ended December 31,         Change                 December 31,                Change                         2013        2012         $            %         2013        2012          $            % Revenue                 $ 72.3        $ 58.0       $ 14.3       25%       $ 263.5       $ 220.8       $ 42.7       19% Costs and expenses: Property operating      24.3          20.6         3.7          18%       93.2          76.0          17.2         23% expenses Sales and marketing     2.6           4.0          (1.4   )     (35)%     10.6          9.7           0.9          9% General and             6.8           5.4          1.4          26%       28.0          20.7          7.3          35% administrative Transaction-related     —             —            —            n/m       20.0          —             20.0         n/m compensation Depreciation and        26.6          20.4         6.2          30%       95.2          73.4          21.8         30% amortization Restructuring           —             —            —            n/m       0.7           —             0.7          n/m charges Transaction costs       0.2           4.4          (4.2   )     (95)%     1.4           5.7           (4.3   )     (75)% Management fees         —             0.4          (0.4   )     n/m       —             2.5           (2.5   )     n/m charged by CBI (Gain) loss on sale of receivables to       —             (0.4   )     0.4          n/m       —             3.2           (3.2   )     n/m affiliate Asset impairments       2.8          —           2.8         n/m       2.8          13.3         (10.5  )     (79)% Total costs and         63.3         54.8        8.5         16%       251.9        204.5        47.4        23% expenses Operating income        9.0           3.2          5.8          181%      11.6          16.3          (4.7   )     (29)% Interest expense        11.5          10.5         1.0          10%       43.7          41.8          1.9          5% Other income            —             —            —            n/m       (0.1    )     —             (0.1   )     n/m Loss on extinguishment of       —            —           —           n/m       1.3          —            1.3         n/m debt Loss before income      (2.5    )     (7.3   )     4.8          (66)%     (33.3   )     (25.5   )     (7.8   )     31% taxes Income tax              (1.1    )     0.4         (1.5   )     n/m       (2.3    )     5.1          (7.4   )     n/m (expense) benefit Loss from continuing              (3.6    )     (6.9   )     3.3         (48)%     (35.6   )     (20.4   )     (15.2  )     75% operations (Loss) gain on sale of real estate          (0.2    )     —            (0.2   )     n/m       (0.2    )     0.1           (0.3   )     n/m improvements Net loss attributed     —             (6.9   )     6.9          n/m       (20.2   )     —             (20.2  )     n/m to Predecessor Noncontrolling interest in net         2.5          —           2.5         n/m       10.3         —            10.3        n/m loss Net loss attributed to common               $ (1.3  )     $ —         $ (1.3 )     n/m       $ (5.3  )     $ (20.3 )     $ 15.0      (74)% stockholders Loss per common share - basic and       $ (0.06 )     n/a                                 $ (0.28 )     n/a diluted Basic weighted average common          20.9                                              20.9 shares Diluted weighted average common          20.9                                              20.9 shares    CyrusOne Inc. Combined Balance Sheets (Dollars in millions) (Unaudited)                        December 31,   December 31,   Change                         2013             2012             $           % Assets Investment in real estate: Land                    $  89.3          $  44.5          $ 44.8        101 % Buildings and           783.7            722.5            61.2          8   % improvements Equipment               190.2            52.4             137.8         n/m Construction in         57.3            64.2            (6.9    )     (11 )% progress Subtotal                1,120.5          883.6            236.9         27  % Accumulated             (236.7     )     (176.7     )     (60.0   )     34  % depreciation Net investment in       883.8           706.9           176.9        25  % real estate Cash and cash           148.8            16.5             132.3         n/m equivalents Rent and other          41.2             33.2             8.0           24  % receivables Restricted cash         —                6.3              (6.3    )     n/m Goodwill                276.2            276.2            —             0% Intangible assets,      85.9             102.6            (16.7   )     (16 )% net Due from affiliates     0.6              2.2              (1.6    )     (73 )% Other assets            70.3            67.0            3.3          5   % Total assets            $  1,506.8      $  1,210.9      $ 295.9      24  % Liabilities and Equity Accounts payable and accrued             $  66.8          $  37.1          $ 29.7        80  % expenses Deferred revenue        55.9             52.8             3.1           6   % Due to affiliates       8.5              2.9              5.6           n/m Capital lease           16.7             32.2             (15.5   )     (48 )% obligations Long-term debt          525.0            525.0            —             0% Other financing         56.3            60.8            (4.5    )     (7  )% arrangements Total liabilities       729.2           710.8           18.4         3   % Shareholders’ Equity / Parent’s net investment: Preferred stock, $.01 par value, 100,000,000             —                —                —             n/m authorized; no shares issued or outstanding Common stock, $.01 par value, 500,000,000 shares authorized and          0.2              —                0.2           n/m 21,991,669 shares issued and outstanding at December 31, 2013 Common stock, $.01 par value, 1,000 shares authorized and 100 shares          —                —                —             n/m issued and outstanding at December 31, 2012 Paid in capital         340.7            7.1              333.6         n/m Accumulated deficit     (18.9      )     —                (18.9   )     n/m Partnership capital     —               493.0           (493.0  )     n/m Total shareholders’ equity / parent’s       322.0            500.1            (178.1  )     (36 )% net investment Noncontrolling          455.6           —               455.6        n/m interests Total Equity            777.6           500.1           277.5        55  % Total liabilities and shareholders’       $  1,506.8      $  1,210.9      $ 295.9      24  % equity / parent’s net investment    CyrusOne Inc. Combined Statements of Operations (Dollars and shares in millions, except per share amounts) (Unaudited)  For the three         December    September   June 30,    March 31,   December months ended:           31,           30,                                       31,                         2013          2013          2013          2013          2012 Revenue                 $ 72.3        $ 67.5        $ 63.6        $ 60.1        $ 58.0 Costs and expenses: Property operating      24.3          24.2          24.6          20.1          20.6 expenses Sales and marketing     2.6           2.3           2.9           2.8           4.0 General and             6.8           7.2           7.1           6.9           5.4 administrative Transaction-related     —             —             —             20.0          — compensation Depreciation and        26.6          23.9          23.0          21.7          20.4 amortization Restructuring           —             0.7           —             —             — charges Transaction costs       0.2           0.7           0.4           0.1           4.4 Management fees         —             —             —             —             0.4 charged by CBI Gain on sale of receivables to          —             —             —             —             (0.4   ) affiliate Asset impairments       2.8          —            —            —            —       Total costs and         63.3         59.0         58.0         71.6         54.8    expenses Operating income        9.0           8.5           5.6           (11.5   )     3.2 (loss) Interest expense        11.5          10.5          10.8          10.9          10.5 Other income            —             (0.1    )     —             —             — Loss on extinguishment of       —            —            1.3          —            —       debt Loss before income      (2.5    )     (1.9    )     (6.5    )     (22.4   )     (7.3   ) taxes Income tax              (1.1    )     (0.3    )     (0.3    )     (0.6    )     0.4     (expense) benefit Loss from continuing              (3.6    )     (2.2    )     (6.8    )     (23.0   )     (6.9   ) operations Loss on sale of real estate             (0.2    )     —             —             —             — improvements Net loss attributed     —             —             —             (20.2   )     (6.9   ) to Predecessor Noncontrolling interest in net         2.5          1.4          4.5          1.9          —       loss Net loss attributed to common               $ (1.3  )     $ (0.8  )     $ (2.3  )     $ (0.9  )     $ —     stockholders Loss per common share - basic           $ (0.06 )     $ (0.05 )     $ (0.12 )     $ (0.05 )     n/a diluted Basic weighted average common          20.9          20.9          20.9          20.9 shares Diluted weighted average common          20.9          20.9          20.9          20.9 shares    CyrusOne Inc. Combined Balance Sheets (Dollars in millions) (Unaudited)                   December      September     June 30,      March 31,     December                    31,             30,                                             31,                    2013            2013            2013            2013            2012 Assets Investment in real estate: Land               $ 89.3          $ 81.5          $ 74.6          $ 44.4          $ 44.5 Buildings and      783.7           778.2           778.5           740.7           722.5 improvements Equipment          190.2           134.3           97.4            68.7            52.4 Construction       57.3           63.2           48.2           92.6           64.2       in progress Subtotal           1,120.5         1,057.2         998.7           946.4           883.6 Accumulated        (236.7    )     (218.6    )     (208.7    )     (192.1    )     (176.7    ) depreciation Net investment     883.8          838.6          790.0          754.3          706.9      in real estate Cash and cash      148.8           213.2           267.1           328.6           16.5 equivalents Rent and other     41.2            33.9            27.2            30.0            33.2 receivables Restricted         —               —               —               2.6             6.3 cash Goodwill           276.2           276.2           276.2           276.2           276.2 Intangible         85.9            89.9            94.1            98.4            102.6 assets, net Due from           0.6             0.9             1.6             23.2            2.2 affiliates Other assets       70.3           67.2           63.6           60.7           67.0       Total assets       $ 1,506.8      $ 1,519.9      $ 1,519.8      $ 1,574.0      $ 1,210.9  Liabilities and Equity Accounts payable and        $ 66.8          $ 67.8          $ 59.3          $ 78.7          $ 37.1 accrued expenses Deferred           55.9            55.1            52.8            51.7            52.8 revenue Due to             8.5             7.0             7.7             8.2             2.9 affiliates Capital lease      16.7            18.8            19.8            31.0            32.2 obligations Long-term debt     525.0           525.0           525.0           525.0           525.0 Other financing          56.3           55.8           54.0           62.9           60.8       arrangements Total              729.2          729.5          718.6          757.5          710.8      liabilities Shareholders’ Equity / Parent’s net investment: Preferred stock, $.01 par value, 100,000,000        —               —               —               —               — authorized; no shares issued or outstanding Common stock, $.01 par value, 500,000,000 shares authorized and     0.2             0.2             0.2             0.2             — 21,991,669 shares issued and outstanding at December 31, 2013 Common stock, $.01 par value, 1,000 shares authorized and     —               —               —               —               — 100 shares issued and outstanding at December 31, 2012 Paid in            340.7           339.4           337.5           335.7           7.1 capital Accumulated        (18.9     )     (14.2     )     (9.7      )     (3.9      )     — deficit Partnership        —              —              —              —              493.0      capital Total shareholders’ equity /           322.0           325.4           328.0           332.0           500.1 parent’s net investment Noncontrolling     455.6          465.0          473.2          484.5          —          interests Total Equity       777.6          790.4          801.2          816.5          500.1      Total liabilities and shareholders’      $ 1,506.8      $ 1,519.9      $ 1,519.8      $ 1,574.0      $ 1,210.9  equity / parent’s net investment    CyrusOne Inc. Reconciliation of Statement of Operations for the Three Months Ended March 31, 2013 (Dollars and shares in millions, except per share amounts) (Unaudited)                            Predecessor        Successor      Combined                             January 1, 2013      January 24,      Three Months                             to January 23,       2013             Ended                             2013                 to March 31,     March 31,                                                  2013             2013 Revenue                     $     15.1           $  45.0          $  60.1 Costs and expenses: Property operating          4.8                  15.3             20.1 expenses Sales and marketing         0.7                  2.1              2.8 General and                 1.5                  5.4              6.9 administrative Transaction-related         20.0                 —                20.0 compensation Depreciation and            5.3                  16.4             21.7 amortization Transaction costs           0.1                 —               0.1        Total costs and             32.4                 39.2             71.6 expenses Operating income (loss)     (17.3        )       5.8              (11.5     ) Interest expense            2.5                 8.4             10.9       Loss before income          (19.8        )       (2.6      )      (22.4     ) taxes Income tax (expense)        (0.4         )       (0.2      )      (0.6      ) benefit Loss from continuing        (20.2        )       (2.8      )      (23.0     ) operations Net loss attributed to      (20.2        )       —                (20.2     ) Predecessor Noncontrolling interest     —                   1.9             1.9        in net loss Net loss attributed to      $     —             $  (0.9   )      $  (0.9   ) common stockholders Loss per common share -     n/a                  $  (0.05  )      $  (0.05  ) basic and diluted Basic weighted average                                            20.9 common shares Diluted weighted                                                  20.9 average common shares    CyrusOne Inc. Reconciliation of Statement of Operations for the Twelve Months Ended December 31, 2013 (Dollars and shares in millions, except per share amounts) (Unaudited)                            Predecessor        Successor      Combined                             January 1, 2013      January 24,      Twelve                             to January 23,       2013             Months Ended                             2013                 to December      December 31,                                                  31, 2013         2013 Revenue                     $     15.1           $  248.4         $  263.5 Costs and expenses: Property operating          4.8                  88.4             93.2 expenses Sales and marketing         0.7                  9.9              10.6 General and                 1.5                  26.5             28.0 administrative Transaction-related         20.0                 —                20.0 compensation Depreciation and            5.3                  89.9             95.2 amortization Restructuring charges       —                    0.7              0.7 Transaction costs           0.1                  1.3              1.4 Impairment charges          —                   2.8             2.8        Total costs and             32.4                219.5           251.9      expenses Operating income (loss)     (17.3        )       28.9             11.6 Interest expense            2.5                  41.2             43.7 Other income                —                    (0.1      )      (0.1      ) Loss on extinguishment      —                   1.3             1.3        of debt Loss before income          (19.8        )       (13.5     )      (33.3     ) taxes Income tax (expense)        (0.4         )       (1.9      )      (2.3      ) benefit Loss from continuing        (20.2        )       (15.4     )      (35.6     ) operations Loss on sale of real        —                    (0.2      )      (0.2      ) estate improvement Net loss attributed to      (20.2        )       —                (20.2     ) Predecessor Noncontrolling interest     —                   10.3            10.3       in net loss Net loss attributed to      $     —             $  (5.3   )      $  (5.3   ) common stockholders Loss per common share -     n/a                  $  (0.28  )      $  (0.28  ) basic and diluted Basic weighted average                           20.9             20.9 common shares Diluted weighted                                 20.9             20.9 average common shares    CyrusOne Inc. Net Operating Income and Reconciliation of Net Loss to Adjusted EBITDA (Dollars in millions) (Unaudited)                        Twelve Months Ended                            Three Months Ended                         December 31,                Change                   December   September   June 30,   March 31,   December                                                                              31,          30,                                      31,                         2013        2012          $             %          2013         2013          2013         2013          2012 Net Operating Income Revenue                 $ 263.5       $ 220.8       $ 42.7        19%        $ 72.3       $  67.5       $ 63.6       $ 60.1        $ 58.0 Property operating      93.2         76.0         17.2          23%        24.3        24.2         24.6        20.1         20.6    expenses Net Operating           $ 170.3      $ 144.8      $ 25.5        18%        $ 48.0      $  43.3      $ 39.0      $ 40.0       $ 37.4  Income (NOI) NOI as a % of           64.6%         65.6%                                  66.4%        64.1%         61.3%        66.6%         64.5% Revenue Reconciliation of Net Loss to Adjusted EBITDA: Net loss                $ (35.8 )     $ (20.3 )     $ (15.5 )     76%        $ (3.8 )     $  (2.2 )     $ (6.8 )     $ (23.0 )     $ (6.9 ) Adjustments: Interest expense        43.7          41.8          1.9           5%         11.5         10.5          10.8         10.9          10.5 Other income            (0.1    )     —             (0.1    )     n/m        —            (0.1    )     —            —             — Income tax              2.3           (5.1    )     7.4           n/m        1.1          0.3           0.3          0.6           (0.4   ) (benefit) expense Depreciation and        95.2          73.4          21.8          30%        26.6         23.9          23.0         21.7          20.4 amortization Restructuring           0.7           —             0.7           n/m        —            0.7           —            —             — charges Legal claim costs       0.7           —             0.7           n/m        —            0.7           —            —             — Transaction costs       1.4           5.7           (4.3    )     (75)%      0.2          0.7           0.4          0.1           4.4 (Gain) loss on sale of receivables to       —             3.2           (3.2    )     (100)%     —            —             —            —             (0.4   ) affiliate Non-cash                6.3           3.4           2.9           85%        1.3          2.0           1.8          1.2           0.8 compensation Asset impairments       2.8           13.3          (10.5   )     n/m        2.8          —             —            —             — Loss on extinguishment of       1.3           —             1.3           n/m        —            —             1.3          —             — debt Loss (gain) on sale of real estate          0.2           (0.1    )     0.3           n/m        0.2          —             —            —             — improvements Transaction-related     20.0         —            20.0          n/m        —           —            —           20.0         —       compensation Adjusted EBITDA         $ 138.7      $ 115.3      $ 23.4        20%        $ 39.9      $  36.5      $ 30.8      $ 31.5       $ 28.4  Adjusted EBITDA as      52.6%         52.2%                                  55.2%        54.1%         48.4%        52.4%         49.0% a % of Revenue    CyrusOne Inc. Reconciliation of Net Loss to FFO, Normalized FFO, and AFFO (Dollars in millions, except per share amounts) (Unaudited)                        Twelve Months Ended                            Three Months Ended                         December 31,                Change                   December   September   June 30,   March 31,   December                                                                              31,          30,                                      31,                         2013        2012          $             %          2013         2013          2013         2013          2012 Reconciliation of Net Loss to FFO and Normalized FFO: Net income (loss)       $ (35.8 )     $ (20.3 )     $ (15.5 )     76  %      $ (3.8 )     $  (2.2 )     $ (6.8 )     $ (23.0 )     $ (6.9 ) Adjustments: Real estate depreciation and        70.6          52.9          17.7          33  %      20.0         17.8          16.9         15.9          15.4 amortization Amortization of customer                16.8          16.0          0.8           5   %      4.2          4.2           4.2          4.2           3.9 relationship intangibles Real estate             2.8           11.7          (8.9    )     (76 )%     2.8          —             —            —             — impairments Customer relationship            —             1.5           (1.5    )     n/m        —            —             —            —             — intangible impairments Loss (gain) on sale of real estate          0.2          (0.1    )     0.3           n/m        0.2         —            —           —            —       improvements Funds from              $ 54.6        $ 61.7        (7.1    )     (12 )%     $ 23.4       $  19.8       $ 14.3       $ (2.9  )     $ 12.4 Operations (FFO) Transaction-related     20.0          —             20.0          n/m        —            —             —            20.0          — compensation Loss on extinguishment of       1.3           —             1.3           n/m        —            —             1.3          —             — debt Restructuring           0.7           —             0.7           n/m        —            0.7           —            —             — charges Legal claim costs       0.7           —             0.7           n/m        —            0.7           —            —             — Transaction costs       1.4          5.7          (4.3    )     (75 )%     $ 0.2       $  0.7       $ 0.4       $ 0.1        4.4     Normalized Funds from Operations         $ 78.7       $ 67.4       $ 11.3        17  %      $ 23.6      $  21.9      $ 16.0      $ 17.2       $ 16.8  (Normalized FFO) Normalized FFO per diluted common          $ 1.22        n/a           $ —           n/m        $ 0.37       $  0.33       $ 0.25       $ 0.27        n/a share or common share equivalent* Weighted Average diluted common share and common        64.6          n/a           —             n/m        64.6         64.7          64.7         64.5          — share equivalent outstanding* Reconciliation of Normalized FFO to AFFO: Normalized FFO          $ 78.7        $ 67.4        $ 11.3        17  %      $ 23.6       $  21.9       $ 16.0       $ 17.2        $ 16.8 Adjustments: Amortization of deferred financing      4.1           0.3           3.8           n/m        1.3          0.5           1.7          0.6           0.3 costs Non-cash                6.3           3.4           2.9           85  %      1.3          2.0           1.8          1.2           0.8 compensation Non-real estate depreciation and        7.8           4.5           3.3           73  %      2.4          1.9           1.9          1.6           1.1 amortization Deferred revenue and straight line       (13.9   )     (8.3    )     (5.6    )     67  %      (4.2   )     (3.7    )     (3.7   )     (2.3    )     (2.3   ) rent adjustments Leasing commissions     (6.8    )     (4.4    )     (2.4    )     55  %      (1.7   )     (1.7    )     (2.5   )     (0.9    )     (1.1   ) Recurring capital       (4.2    )     (3.9    )     (0.3    )     8   %      (1.9   )     (1.6    )     (0.4   )     (0.3    )     (1.6   ) expenditures Corporate income tax (benefit)           0.4          (5.8    )     6.2           n/m        —           —            —           0.4          (0.5   ) expense Adjusted Funds from     $ 72.4       $ 53.2       $ 19.2        36  %      $ 20.8      $  19.3      $ 14.8      $ 17.5       $ 13.5  Operations (AFFO)             Assumes diluted common shares and common share equivalents were *     outstanding as of January 1, 2013 for the Three Months Ended March           31, 2013.    CyrusOne Inc. Market Capitalization Summary and Reconciliation of Net Debt (Unaudited)  Market Capitalization                                                                                                                                   Shares or       Market Price          Market Value                            Equivalents     as of                 Equivalents                            Outstanding     December 31, 2013     (in millions) Common shares              21,991,669      $     22.33           $  491.1 Operating Partnership      42,586,835      $     22.33           951.0 units Net Debt                                                         392.9        Total Enterprise Value                                           $  1,835.0   (TEV) Net Debt as a % of TEV                                           21.4        % Net Debt to LQA                                                  2.5x Adjusted EBITDA    Reconciliation                                                   of Net Debt  (Dollars in        December      September     June 30,      March 31,     December millions)          31,           30,                                       31,                    2013          2013          2013          2013          2012 Long-term debt     $ 525.0       $ 525.0       $ 525.0       $ 525.0       $ 525.0 Capital lease      16.7          18.8          19.8          31.0          32.2 obligations Less: Cash and cash      (148.8  )     (213.2  )     (267.1  )     (328.6  )     (16.5   ) equivalents Net Debt           $ 392.9      $ 330.6      $ 277.7      $ 227.4      $ 540.7     CyrusOne Inc. Colocation Square Footage (CSF) and Utilization (Unaudited)                    As of December 31, 2013       As of December 31, 2012                     CSF Capacity                    CSF Market              (Sq Ft)        % Utilized     Capacity      % Utilized                                                     (Sq Ft) Cincinnati          419,231          89%            411,730         92% Dallas              231,598          80%            171,100         69% Houston             230,718          91%            188,602         93% Austin              54,003           69%            57,078          32% Phoenix             36,654           67%            36,222          0% San Antonio         43,487           100%           35,765          61% Chicago             23,298           52%            23,278          52% International       13,200          78%            8,200          52% Total Footprint     1,052,189       85%            931,975        78%    CyrusOne Inc. 2014 Guidance (Unaudited)                                            2013 Results   Full Year 2014 Revenue                                     $263 million     $305 - $315                                                              million Adjusted EBITDA                             $139 million     $160 - $165                                                              million Normalized FFO per diluted common share     $1.22            $1.55 - $1.65 or common share equivalent                                                               Capital Expenditures Development*                                $216 million     $275 - $300                                                              million Recurring                                   $4 million       $5 - $10 million Acquisition of leased facilities**          $28 million      —   *   Development capital is inclusive of capital used for the acquisition of      land for future development.      Of the $28.2 million paid for the acquisition of previously leased **   properties, $8.4 million is presented as capital expenditures in the GAAP      cash flow statement and $19.8 million is presented as repayment of debt.    CyrusOne Inc. Data Center Portfolio As of December 31, 2013 (Unaudited)                                                     Operating Net Rentable Square Feet (NRSF)^(a)                                                Powered                                                                                                                                                                 Shell           Available                                                          Colocation                                                                          CSF          Available       UPS Facilities          Metropolitan     Annualized          Space         Office &    Supporting           Total^(f)     Percent        Utilized     for Future      Capacity                     Area             Rent^(b)            (CSF)^(c)       Other^(d)     Infrastructure^(e)                     Leased^(g)     ^ (h)        Development     (MW)^(j)                                                                                                                                                           (NRSF)^(i) Westway Park Blvd. (Houston      Houston          46,835,178          112,133         12,735        36,732                 161,600         97%            97%          3,000           28 West 1) Southwest Fwy.      Houston          41,548,783          63,469          17,259        23,203                 103,931         91%            97%          —               14 (Galleria) S. State Hwy 121 Business        Dallas           36,204,739          108,687         11,279        59,344                 179,310         94%            95%          —               18 (Lewisville)* West Seventh Street (7th         Cincinnati       33,236,556          211,672         5,744         171,561                388,977         90%            90%          37,000          13 St.)*** Kingsview Drive     Cincinnati       19,628,121          65,303          36,261        49,159                 150,723         82%            78%          72,000          14 (Lebanon) Industrial Road     Cincinnati       15,240,711          52,698          46,848        40,374                 139,920         94%            100%         —               9 (Florence) Westover Hills Blvd. (San          San Antonio      12,113,780          43,487          2,351         35,955                 81,793          98%            100%         23,000          12 Antonio 1) Knightsbridge Drive               Cincinnati       11,052,761          46,565          1,077         35,336                 82,978          90%            90%          —               10 (Hamilton)* W. Frankford Road                Dallas           9,270,138           107,256         19,706        53,588                 180,550         54%            64%          345,000         9 (Carrollton) E. Ben White Blvd. (Austin       Austin           6,372,547           16,223          21,376        7,516                  45,115          94%            85%          —               2 1)* Parkway Dr.         Cincinnati       5,943,770           34,072          26,458        17,193                 77,723          99%            100%         —               4 (Mason) Midway Rd.**        Dallas           5,397,262           8,390           —             —                      8,390           100%           100%         —               1 Metropolis Drive (Austin       Austin           4,863,285           37,780          4,128         18,444                 60,352          55%            61%          —               5 2) Kestral Way         London           3,482,515           10,000          —             —                      10,000          99%            99%          —               1 (London)** Westway Park Blvd. (Houston      Houston          3,022,611           42,116          6,286         28,379                 76,781          49%            61%          12,000          6 West 2) Springer Street     Chicago          2,318,443           13,516          4,115         12,230                 29,861          59%            47%          29,000          3 (Lombard) South Ellis Street              Phoenix          2,126,536           36,654          36,135        38,410                 111,199         34%            67%          76,000          6 (Phoenix) Marsh Ln.**         Dallas           2,113,567           4,245           —             —                      4,245           100%           100%         —               1 Goldcoast Drive     Cincinnati       1,463,863           2,728           5,280         16,481                 24,489          100%           100%         14,000          1 (Goldcoast) E. Monroe Street (Monroe      South Bend       1,055,610           6,350           —             6,478                  12,828          64%            64%          4,000           1 St.) North Fwy.          Houston          1,034,598           13,000          1,449         —                      14,449          100%           100%         —               1 (Greenspoint)** Bryan St.**         Dallas           1,012,018           3,020           —             —                      3,020           57%            57%          —               1 Crescent Circle     South Bend       649,159             3,432           —             5,125                  8,557           49%            49%          11,000          1 (Blackthorn)* McAuley Place       Cincinnati       592,804             6,193           6,950         2,166                  15,309          71%            39%          —               1 (Blue Ash)* Jurong East         Singapore        332,772            3,200          —            —                     3,200          12%            12%          —              1 (Singapore)** Total                                $ 266,912,127      1,052,189      265,437      657,674               1,975,300      82%            85%          626,000        158         Indicates properties in which we hold a leasehold interest in the *    building shell and land. All data center infrastructure has been       constructed by us and owned by us. **    Indicates properties in which we hold a leasehold interest in the       building shell, land, and all data center infrastructure.       The information provided for the West Seventh Street (7th St.) property ***   includes data for two facilities, one of which we lease and one of which       we own.       Represents the total square feet of a building under lease or available (a)   for lease based on engineers’ drawings and estimates but does not       include space held for development or space used by CyrusOne.       Represents monthly contractual rent (defined as cash rent including       customer reimbursements for metered power) under existing customer       leases as of December 31, 2013, multiplied by 12. For the month of       December 2013, customer reimbursements were $24.1 million annualized and       consisted of reimbursements by customers across all facilities with       separately metered power. Customer reimbursements under leases with       separately metered power vary from month-to-month based on factors such       as our customers’ utilization of power and the suppliers’ pricing of (b)   power. From January 1, 2012, through December 31, 2013, customer       reimbursements under leases with separately metered power constituted       between 7.3% and 9.7% of annualized rent. After giving effect to       abatements, free rent and other straight-line adjustments, our       annualized effective rent as of December 31, 2013, was $282,358,919. Our       annualized effective rent was greater than our annualized rent as of       December 31, 2013, because our positive straight-line and other       adjustments and amortization of deferred revenue exceeded our negative       straight-line adjustments due to factors such as the timing of       contractual rent escalations and customer prepayments for services.       CSF represents the NRSF at an operating facility that is currently (c)   leased or readily available for lease as colocation space, where       customers locate their servers and other IT equipment.       Represents the NRSF at an operating facility that is currently leased or (d)   readily available for lease as space other than CSF, which is typically       office and other space. (e)   Represents infrastructure support space, including mechanical,       telecommunications and utility rooms, as well as building common areas.       Represents the NRSF at an operating facility that is currently leased or (f)   readily available for lease. This excludes existing vacant space held       for development.       Percent leased is determined based on NRSF being billed to customers       under commenced leases as of December 31, 2013, divided by total NRSF. (g)   Leases signed but not commenced as of December 31, 2013, are not       included. Supporting infrastructure has been allocated to leased NRSF on       a proportionate basis for purposes of this calculation.       Utilization is calculated by dividing CSF under signed leases for (h)   available space (whether or not the contract has commenced billing) by       total CSF. (i)   Represents space that is under roof that could be developed in the       future for operating NRSF, rounded to the nearest 1,000.       UPS Capacity (also referred to as critical load) represents the       aggregate power available for lease to and exclusive use by customers (j)   from the facility’s installed universal power supplies (UPS) expressed       in terms of megawatts. The capacity presented is for non-redundant       megawatts as we can develop flexible solutions to our customers at       multiple resiliency levels. May not foot due to rounding.    CyrusOne Inc. NRSF Under Development As of December 31, 2013 (Dollars in millions) (Unaudited)                                NRSF Under Development^(a)                                                              Under Development Costs^(b)                                   Colocation                                                                                  Actual     Estimated Facilities       Metropolitan   Space        Office &   Supporting       Powered     Total         UPS MW           to       Costs          Total                  Area             (CSF)          Other        Infrastructure     Shell^(c)                   Capacity^(d)     Date       to                                                                                                                                          Completion W. Frankford Rd.              Dallas           60,000         8,000        28,000             —             96,000        9                $ 2        $24-29           $26-31 (Carrollton) Westover Hills Blvd.      San Antonio      30,000         20,000       25,000             40,000        115,000       3                —          32-38            32-38 (San Antonio 2) Westway Park Blvd.            Houston          38,000         —            22,000             —             60,000        6                4          17-21            21-25 (Houston West 2) Westway Park Blvd.            Houston          —              —            —                  320,000       320,000       —                1          18-24            19-25 (Houston West 3) South Ellis Street,          Phoenix          —              —            —                  —             —             3                3          4-5              7-8 Chandler, AZ (Phoenix) Ridgetop Circle,          Northern Sterling, VA     Virginia         30,000         5,000        30,000             50,000        115,000       3                —          26-30            26-30 (Northern VA) Metropolis Dr., Austin,     Austin           5,000         —           —                 —            5,000        —               —         0.5-1.0          0.5-1.0 TX (Austin 2) Total                             163,000       33,000      105,000           410,000      711,000      24              $ 10      $121.5-148.0     $131.5-158.0         Represents NRSF at a facility for which activities have commenced or are (a)  expected to commence in the next 2 quarters to prepare the space for its       intended use. Estimates and timing are subject to change.       Represents management’s estimate of the total costs required to complete (b)   the current NRSF under development. There may be an increase in costs if       customers require greater power density. (c)   Represents NRSF under construction that, upon completion, will be       powered shell available for future development into operating NRSF.       UPS Capacity (also referred to as critical load) represents the       aggregate power available for lease to and exclusive use by customers (d)   from the facility’s installed universal power supplies (UPS) expressed       in terms of megawatts. The capacity presented is for non-redundant       megawatts, as we can develop flexible solutions to our customers at       multiple resiliency levels. May not foot due to rounding.    CyrusOne Inc. Customer Diversification^(a) As of December 31, 2013 (Unaudited)                                                                  Percentage     Weighted                                                                 of             Average      Principal Customer   Number of   Annualized        Portfolio    Remaining        Industry               Locations     Rent^(b)            Annualized     Lease Term                                                                 Rent^(c)       in                                                                                Months^(d) 1      Telecommunications     7             $ 21,768,198        8.2%           27.1        (CBI)^(e) 2      Energy                 2             19,710,295          7.4%           10.4 3      Energy                 4             14,946,572          5.6%           11.4        Research and 4      Consulting             3             12,513,879          4.7%           7.1        Services 5      Telecommunication      1             11,164,966          4.2%           48.4        Services 6      Information            3             9,775,173           3.7%           54.3        Technology 7      Information            3             8,271,195           3.1%           41.1        Technology 8      Financials             1             6,000,225           2.2%           77.0 9      Telecommunication      3             5,005,493           1.9%           64.0        Services 10     Energy                 2             4,737,000           1.8%           31.0 11     Information            1             4,732,856           1.8%           24.0        Technology 12     Consumer Staples       1             4,523,035           1.7%           99.5 13     Energy                 1             4,152,405           1.6%           11.8 14     Information            1             4,055,016           1.5%           86.0        Technology 15     Energy                 3             3,882,179           1.5%           4.1 16     Information            2             3,838,140           1.4%           86.0        Technology 17     Energy                 1             3,612,639           1.4%           29.3 18     Energy                 4             3,446,913           1.3%           33.2 19     Energy                 1             3,299,383           1.2%           13.3 20     Consumer               1             3,290,127          1.2%           10.3        Discretionary                                             $ 152,725,689      57.4%          32.7   (a)  Includes customer affiliates.       Represents monthly contractual rent (defined as cash rent including       customer reimbursements for metered power) under existing customer       leases as of December 31, 2013, multiplied by 12. For the month of       December 2013, our total portfolio annualized rent was $266.9 million       and customer reimbursements were $24.1 million annualized, consisting of       reimbursements by customers across all facilities with separately       metered power. Customer reimbursements under leases with separately       metered power vary from month-to-month based on factors such as our       customers’ utilization of power and the suppliers’ pricing of power. (b)   From January 1, 2012 through December 31, 2013, customer reimbursements       under leases with separately metered power constituted between 7.3% and       9.7% of annualized rent. After giving effect to abatements, free rent       and other straight-line adjustments, our annualized effective rent for       our total portfolio as of December 31, 2013 was $282,358,919. Our       annualized effective rent was greater than our annualized rent as of       December 31, 2013 because our positive straight-line and other       adjustments and amortization of deferred revenue exceeded our negative       straight-line adjustments due to factors such as the timing of       contractual rent escalations and customer prepayments for services.       Represents the customer’s total annualized rent divided by the total (c)   annualized rent in the portfolio as of December 31, 2013, which was       approximately $266.9 million.       Weighted average based on customer’s percentage of total annualized rent       expiring and is as of December 31, 2013, assuming that customers       exercise no renewal options and exercise all early termination rights       that require payment of less than 50% of the remaining rents. Early (d)   termination rights that require payment of 50% or more of the remaining       lease payments are not assumed to be exercised because such payments       approximate the profitability margin of leasing that space to the       customer, such that we do not consider early termination to be       economically detrimental to us.       Includes information for both Cincinnati Bell Technology Solutions       (CBTS) and Cincinnati Bell Telephone and two customers that have       contracts with CBTS. We expect the contracts for these two customers to (e)   be assigned to us, but the consents for such assignments have not yet       been obtained. Excluding these customers, Cincinnati Bell Inc. and       subsidiaries represented 2.9% of our annualized rent as of December 31,       2013.    CyrusOne Inc. Lease Distribution As of December 31, 2013 (Unaudited)                                    Percentage                     Percentage                         Percentage NRSF Under      Number of         of             Total           of             Annualized          of Lease^(a)     Customers^(b)   All          Leased        Portfolio    Rent^(d)          Annualized                                   Customers      NRSF^(c)        Leased                             Rent                                                                  NRSF 0-999           458               77%            86,801          5%             $ 34,407,299        13% 1,000-2,499     46                8%             73,656          5%             13,658,013          5% 2,500-4,999     31                5%             113,295         7%             24,489,702          9% 5,000-9,999     28                5%             195,001         12%            52,544,811          20% 10,000+         32               5%             1,141,957      71%            141,812,302        53% Total           595              100%           1,610,710      100%           $ 266,912,127      100%   (a)  Represents all leases in our portfolio, including colocation, office and       other leases. (b)   Represents the number of customers in our portfolio leasing data center,       office and other space.       Represents the total square feet at a facility under lease and that has       commenced billing, excluding space held for development or space used by (c)   CyrusOne. A customer’s leased NRSF is estimated based on such customer’s       direct CSF or office and light-industrial space plus management’s       estimate of infrastructure support space, including mechanical,       telecommunications and utility rooms, as well as building common areas.       Represents monthly contractual rent (defined as cash rent including       customer reimbursements for metered power) under existing customer       leases as of December 31, 2013, multiplied by 12. For the month of       December 2013, customer reimbursements were $24.1 million annualized and       consisted of reimbursements by customers across all facilities with       separately metered power. Customer reimbursements under leases with       separately metered power vary from month-to-month based on factors such       as our customers’ utilization of power and the suppliers’ pricing of (d)   power. From January 1, 2012, through December 31, 2013, customer       reimbursements under leases with separately metered power constituted       between 7.3% and 9.7% of annualized rent. After giving effect to       abatements, free rent and other straight-line adjustments, our       annualized effective rent as of December 31, 2013, was $282,358,919. Our       annualized effective rent was greater than our annualized rent as of       December 31, 2013, because our positive straight-line and other       adjustments and amortization of deferred revenue exceeded our negative       straight-line adjustments due to factors such as the timing of       contractual rent escalations and customer prepayments for services.   <td class="bwpadl0 bwnowrap bwpadr0 bwvertalignb bwalign*Story too large*  CyrusOne Inc. Lease Expirations As of December 31, 2013 (Unaudited)                                                                                                                      Percentage                    Number of        Total         Percentage                      Percentage     Annualized         of Year^(a)         Leases         Operating   of           Annualized     of           Rent             Annualized                    Expiring^(b)     NRSF          Total NRSF     Rent^(c)         Annualized     at                 Rent                                     Expiring                                      Rent           Expiration^(d)     at                                                                                                                     Expiration Available                           364,590       18% Month-to-Month     215              31,084        2%             $ 9,094,261      3%             $  9,094,261       2% 2014               881              434,697       22%            94,692,969       35%            96,525,370         33% 2015               505              271,436       14%            40,239,102       15%            42,876,722         15% 2016               441              116,316       6%             37,473,047       14%            40,496,601         14% 2017               127              244,624       12%            28,609,914       11%            29,889,056         10% 2018               130              145,591       7%             27,421,947       10%            30,791,401         11% 2019               16               99,205        5%             5,349,615        2%             5,786,692          2% 2020               36               124,259       6%             9,449,453        4%             12,429,996         4% 2021               13               32,010        2%             4,163,781        2%             4,607,532          2% 2022               6                39,734        2%             5,892,252  [TRUNCATED]