Operator: Ladies and gentlemen, thank you for standing by and welcome to the Public Storage Fourth Quarter 2011 Earnings 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.
I'd now like to turn the conference over to Mr. Clemente Teng. Sir, you may begin your conference.
Clemente Teng - VP, IR: Good morning, and thank you for joining us for our fourth quarter earnings call. Here with me today are Ron Havner and John Reyes. All statements other than statements of historical facts, included in this conference call are forward-looking statements, subject to a number of risks and uncertainties that could cause actual results to differ materially from those projected in these statements.
These risks and other factors that could adversely affect our business and future results are described in today's earnings press release, and in our reports filed with the SEC. All forward-looking statements speak only as of February 24, 2012, 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 or 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.
Now, I'll turn the call over to John Reyes.
John Reyes - SVP and CFO: Thank you, Clem. Our fourth quarter core FFO per share was $1.66 compared to $1.45 last year, a 15% increase. Five items contributed to this growth. First, our same-store net operating income increased by 6.1% adding $0.09 per share, non-same-store properties provided $0.03 per share buying affiliated partnership interests in the third quarter added $0.02. Our investment in Shurgard Europe added $0.02 per share driven primarily by Shugard's first quarter acquisition of the remaining interest in two joint ventures, and lower financing costs added $0.05 per share.
We recently completed several capital transactions in the first quarter. We issued $460 million of 5.9% preferred stock, a record low coupon rate for us. We also announced the redemption of three preferred series totaling $357 million having a blended rate of 6.75%. There will be a charge recorded in the first quarter associated with redemptions of about $13 million or $0.08 per share.
As a result of recent capital transactions, preferred dividends are expected to be about $4 million lower in the first quarter. In November, Shurgard Europe completed the refinancing of its joint venture loans with a new €215 million term loan. This new loan, which will mature in November of 2014, has an interest rate of about 125 basis points lower than the joint venture loans. We also extended the maturity date of our 9% loan to Shurgard Europe to February 2015. We expect nominal pay downs on our loan in 2012.
We increased our quarterly dividend to $1.10 per share, representing an increase of 16%. Since 2007, our dividend has more than doubled. Our consistent long-term dividend policy has been to distribute only our taxable income.