Operator: Good afternoon. My name is Beverly and I will be your conference operator today. At this time, I would like to welcome everyone to the Public Storage Second Quarter 2011 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. Thank you.
Clem Teng, you may begin your conference.
Clemente Teng - VP, IR: Good morning, and thank you for joining us for our second quarter earnings call. Here with me today are Ron Havner, CEO; and John Reyes, CFO. We'll follow the usual format followed by a question-and-answer period. However, to allow for equal participation, we request that you ask only one question when your turn comes up and then return to the queue for any follow-up questions.
Before we start, I want to remind you that all statements other than statements of historical facts, included in this conference call are forward-looking statements. These forward-looking statements are subject to a number of risk and uncertainties that could cause actual results to differ materially from those projected in these statements.
These risk and other factors that could adversely affect our business and future results are described in today's earnings press release as well as in our reports filed with the Securities and Exchange Commission. All forward-looking statements speak only as of today, August 5, 2011, and we assume no obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
A reconciliation to GAAP of the non-GAAP financial measures we are providing on this call is included in our earnings press release. You can find our press release, SEC reports, and an audio webcast replay of this conference call on our website at www.publicstorage.com.
I'll turn the call over to John Reyes.
John Reyes - SVP and CFO: Thank you, Clem. As outlined in our press release, our second quarter core FFO per share was $1.43 compared to $1.27 last year, a 13% increase. Three items primarily drove this growth; first, our same-store net operating income increased by 6.2% or approximately $15 million, representing $0.09 per share; second, our investment in Shurgard Europe added $0.05 per share, primarily from the acquisition of an 80% interest in two joint ventures along with a 13% higher euro to dollar currency exchange rate. Third, our non same-store properties added another $0.03 per share. These items were partially offset by higher G&A costs of about $0.02 per share.
Our same-store net operating income benefited from higher revenues of 4% along with flat operating expenses. Higher property taxes and property payroll expenses were offset by lower advertising, primarily due to lower television costs.
Our G&A expense for the quarter was $2.5 million higher than last year. This is primarily due to an additional $3 million for an incentive plan that is based upon 2011 same-store revenue growth. We expect this plan will add $13 million to our 2011 G&A expense compared to 2010.