UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

þ		QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

o		TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number: 000-52891

CORPORATE PROPERTY ASSOCIATES 17 – GLOBAL INCORPORATED

(Exact name of registrant as specified in its charter)

Maryland		20-8429087
(State of incorporation)		(I.R.S. Employer Identification No.)
50 Rockefeller Plaza New York, New York (Address of principal executive office)		10020 (Zip Code)

Investor Relations (212) 492-8920

(212) 492-1100
(Registrant’s telephone numbers, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes þ No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer o		Accelerated filer o		Non-accelerated filer þ		Smaller reporting company o
				(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No þ

Registrant has 183,008,758 shares of common stock, $0.001 par value, outstanding at August 5, 2011.

 

 

INDEX

		Page No.
PART I — FINANCIAL INFORMATION
Item 1. Financial Statements (Unaudited)
Consolidated Balance Sheets			2
Consolidated Statements of Income			3
Consolidated Statements of Comprehensive Income (Loss)			4
Consolidated Statements of Equity			5
Consolidated Statements of Cash Flows			6
Notes to Consolidated Financial Statements			7
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations			23
Item 3. Quantitative and Qualitative Disclosures About Market Risk			36
Item 4. Controls and Procedures			38
PART II — OTHER INFORMATION
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds			38
Item 6. Exhibits			39
Signatures			40
Exhibit 31.1
Exhibit 31.2
Exhibit 32
EX-101 INSTANCE DOCUMENT
EX-101 SCHEMA DOCUMENT
EX-101 CALCULATION LINKBASE DOCUMENT
EX-101 LABELS LINKBASE DOCUMENT
EX-101 PRESENTATION LINKBASE DOCUMENT
EX-101 DEFINITION LINKBASE DOCUMENT

Forward-Looking Statements

This Quarterly Report on Form 10-Q (the “Report”), including Management’s Discussion and Analysis of Financial Condition and Results of Operations in Item 2 of Part I of this Report, contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. It is important to note that our actual results could be materially different from those projected in such forward-looking statements. You should exercise caution in relying on forward-looking statements as they involve known and unknown risks, uncertainties and other factors that may materially affect our future results, performance, achievements or transactions. Information on factors which could impact actual results and cause them to differ from what is anticipated in the forward-looking statements contained herein is included in this Report as well as in our other filings with the Securities and Exchange Commission (the “SEC”), including but not limited to those described in Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2010 as filed with the SEC on March 18, 2011 (the “2010 Annual Report”). We do not undertake to revise or update any forward-looking statements. Additionally, a description of our critical accounting estimates is included in the Management’s Discussion and Analysis of Financial Condition and Results of Operations section of our 2010 Annual Report. There has been no significant change in our critical accounting estimates.

CPA^®:17 – Global 6/30/2011 10-Q — 1

PART I

Item 1.		Financial Statements

CORPORATE PROPERTY ASSOCIATES 17 — GLOBAL INCORPORATED

CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(in thousands, except share and per share amounts)

		June 30, 2011				December 31, 2010
Assets
Investments in real estate:
Real estate, at cost		$	1,093,971			$	930,404
Operating real estate, at cost			104,014				12,177
Accumulated depreciation			(28,730	)			(16,574	)
Net investments in properties			1,169,255				926,007
Real estate under construction			82,856				53,041
Net investments in direct financing leases			452,885				397,006
Equity investments in real estate			207,401				50,853
Net investments in real estate			1,912,397				1,426,907
Notes receivable			70,000				89,560
Cash and cash equivalents			224,964				162,745
Intangible assets, net			263,642				252,078
Other assets, net			68,702				56,965
Total assets		$	2,539,705			$	1,988,255
Liabilities and Equity
Liabilities:
Non-recourse and limited-recourse debt		$	864,273			$	667,478
Accounts payable, accrued expenses and other liabilities			35,417				14,719
Prepaid and deferred rental income			34,739				27,020
Due to affiliates			24,054				21,009
Distributions payable			26,898				21,520
Total liabilities			985,381				751,746
Commitments and contingencies (Note 10)
Equity:
CPA®:17 — Global shareholders’ equity:
Preferred stock, $0.001 par value; 50,000,000 shares authorized; none issued			—				—
Common stock $0.001 par value; 400,000,000 shares authorized; 177,641,172 and 143,231,953 shares issued and outstanding, respectively			178				143
Additional paid-in capital			1,589,735				1,280,453
Distributions in excess of accumulated earnings			(119,299	)			(93,446	)
Accumulated other comprehensive income (loss)			24,899				(14,943	)
Less, treasury stock at cost, 1,308,490 and 864,991 shares, respectively			(12,199	)			(8,044	)
Total CPA®:17 — Global shareholders’ equity			1,483,314				1,164,163
Noncontrolling interests			71,010				72,346
Total equity			1,554,324				1,236,509
Total liabilities and equity		$	2,539,705			$	1,988,255

See Notes to Consolidated Financial Statements.

CPA^®:17 – Global 6/30/2011 10-Q — 2

CORPORATE PROPERTY ASSOCIATES 17 — GLOBAL INCORPORATED

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(in thousands, except share and per share amounts)

		Three Months Ended June 30,								Six Months Ended June 30,
		2011				2010				2011				2010
Revenues
Rental income		$	28,808			$	12,272			$	56,052			$	20,684
Interest income from direct financing leases			12,264				10,234				23,557				19,601
Other operating income			960				293				1,510				417
Interest income on notes receivable and CMBS			1,737				518				3,956				1,035
Other real estate income			1,155				540				2,005				540
			44,924				23,857				87,080				42,277
Operating Expenses
Depreciation and amortization			(8,993	)			(3,487	)			(17,352	)			(5,819	)
General and administrative			(4,361	)			(1,633	)			(6,198	)			(2,610	)
Property expenses			(4,625	)			(1,453	)			(8,407	)			(2,648	)
Other real estate expenses			(643	)			(307	)			(1,126	)			(307	)
			(18,622	)			(6,880	)			(33,083	)			(11,384	)
Other Income and Expenses
Income from equity investments in real estate			925				120				2,695				518
Other income and (expenses)			804				137				138				77
Interest expense			(10,909	)			(6,612	)			(23,085	)			(11,928	)
			(9,180	)			(6,355	)			(20,252	)			(11,333	)
Income from continuing operations before income taxes			17,122				10,622				33,745				19,560
Benefit from (provision for) income taxes			122				(117	)			(244	)			351
Income from continuing operations			17,244				10,505				33,501				19,911
Discontinued Operations
(Loss) income from operations of discontinued properties			(26	)			—				363				—
Gain on sale of real estate			787				—				787				—
Income from discontinued operations			761				—				1,150				—
Net Income			18,005				10,505				34,651				19,911
Less: Net income attributable to noncontrolling interests			(5,158	)			(3,850	)			(9,373	)			(7,133	)
Net Income Attributable to CPA®:17 — Global Shareholders		$	12,847			$	6,655			$	25,278			$	12,778
Earnings Per Share
Income from continuing operations attributable to CPA®:17 — Global shareholders		$	0.07			$	0.06			$	0.15			$	0.13
Income from discontinued operations attributable to CPA®:17 — Global shareholders			0.01				—				0.01				—
Net income attributable to CPA®:17 — Global shareholders		$	0.08			$	0.06			$	0.16			$	0.13
Weighted Average Shares Outstanding			165,796,441				103,065,554				158,736,669				95,206,876
Amounts Attributable to CPA®:17 — Global Shareholders
Income from continuing operations, net of tax		$	12,086			$	6,655			$	24,128			$	12,778
Income from discontinued operations, net of tax			761				—				1,150				—
Net income		$	12,847			$	6,655			$	25,278			$	12,778
Distributions Declared Per Share		$	0.1625			$	0.1600			$	0.3225			$	0.3183

See Notes to Consolidated Financial Statements.

CPA^®:17 – Global 6/30/2011 10-Q — 3

CORPORATE PROPERTY ASSOCIATES 17 — GLOBAL INCORPORATED

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED)
(in thousands)

		Three Months Ended June 30,								Six Months Ended June 30,
		2011				2010				2011				2010
Net Income		$	18,005			$	10,505			$	34,651			$	19,911
Other Comprehensive Income (Loss):
Foreign currency translation adjustments			9,214				(17,833	)			46,593				(27,476	)
Unrealized loss on derivative instrument			(2,886	)			(2,248	)			(6,005	)			(3,738	)
Change in unrealized appreciation on marketable securities			(15	)			—				(15	)			—
			6,313				(20,081	)			40,573				(31,214	)
Comprehensive income (loss)			24,318				(9,576	)			75,224				(11,303	)
Amounts Attributable to Noncontrolling Interests:
Net income			(5,158	)			(3,850	)			(9,373	)			(7,133	)
Foreign currency translation adjustments			(209	)			915				(845	)			1,553
Change in unrealized loss on derivative instruments			138				435				114				958
Comprehensive income attributable to noncontrolling interests			(5,229	)			(2,500	)			(10,104	)			(4,622	)
Comprehensive Income (Loss) Attributable to CPA®:17 — Global Shareholders		$	19,089			$	(12,076	)		$	65,120			$	(15,925	)

See Notes to Consolidated Financial Statements.

CPA^®:17 – Global 6/30/2011 10-Q — 4

CORPORATE PROPERTY ASSOCIATES 17 — GLOBAL INCORPORATED

CONSOLIDATED STATEMENTS OF EQUITY (UNAUDITED)
For the six months ended June 30, 2011 and the year ended December 31, 2010
(in thousands, except share and per share amounts)

						CPA®:17 – Global Shareholders
														Distributions				Accumulated								Total
		Total								Additional				in Excess of				Other								CPA®:17 –
		Outstanding				Common				Paid-In				Accumulated				Comprehensive				Treasury				Global				Noncontrolling
		Shares				Stock				Capital				Earnings				Income (Loss)				Stock				Shareholders				Interests				Total
Balance at January 1, 2010			79,886,568			$	82			$	718,057			$	(53,118	)		$	(4,902	)		$	(2,314	)		$	657,805			$	71,332			$	729,137
Shares issued, net of offering costs			62,643,431				60				557,835																557,895								557,895
Shares issued to affiliates			453,121				1				4,561																4,562								4,562
Contributions from noncontrolling interests																															412				412
Distributions declared ($0.6400 per share)															(70,782	)											(70,782	)							(70,782	)
Distributions to noncontrolling interests																															(12,959	)			(12,959	)
Net (loss) income															30,454												30,454				15,333				45,787
Other comprehensive loss:
Foreign currency translation adjustments																			(6,660	)							(6,660	)			(778	)			(7,438	)
Change in unrealized loss on derivative instruments																			(3,381	)							(3,381	)			(994	)			(4,375	)
Repurchase of shares			(616,158	)																			(5,730	)			(5,730	)							(5,730	)
Balance at December 31, 2010			142,366,962				143				1,280,453				(93,446	)			(14,943	)			(8,044	)			1,164,163				72,346				1,236,509
Shares issued, net of offering costs			33,878,588				33				303,998																304,031								304,031
Shares issued to affiliates			530,631				2				5,284																5,286								5,286
Contributions from noncontrolling interests																															1,185				1,185
Distributions declared ($0.3225 per share)															(51,131	)											(51,131	)							(51,131	)
Distributions to noncontrolling interests																															(12,625	)			(12,625	)
Net income															25,278												25,278				9,373				34,651
Other comprehensive income:
Foreign currency translation adjustments																			45,748								45,748				845				46,593
Change in unrealized loss on derivative instruments																			(5,891	)							(5,891	)			(114	)			(6,005	)
Change in unrealized appreciation on marketable securities																			(15	)							(15	)							(15	)
Repurchase of shares			(443,499	)																			(4,155	)			(4,155	)							(4,155	)
Balance at June 30, 2011			176,332,682			$	178			$	1,589,735			$	(119,299	)		$	24,899			$	(12,199	)		$	1,483,314			$	71,010			$	1,554,324

See Notes to Consolidated Financial Statements.

CPA^®:17 – Global 6/30/2011 10-Q — 5

CORPORATE PROPERTY ASSOCIATES 17 — GLOBAL INCORPORATED

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
(in thousands)

		Six Months Ended June 30,
		2011				2010
Cash Flows — Operating Activities
Net income		$	34,651			$	19,911
Adjustments to net income:
Depreciation and amortization including intangible assets and deferred financing costs			19,623				5,834
Income from equity investments in real estate in excess of distributions received			(336	)			(154	)
Issuance of shares to affiliate in satisfaction of fees due			5,286				1,727
Gain on sale of real estate			(787	)			—
Unrealized loss on foreign currency transactions and others			475				91
Realized gain on foreign currency transactions and others			(588	)			(164	)
Straight-line rent adjustment and amortization of rent-related intangibles			(5,196	)			(1,957	)
Settlement of derivative liability			(7,056	)			—
Increase in accounts receivable and prepaid expenses			(3,652	)			(2,088	)
(Decrease) increase in accounts payable and accrued expenses			(1,872	)			3,084
Increase in prepaid and deferred rental income			7,265				3,812
(Decrease) increase in due to affiliates			(205	)			4,382
Net changes in other operating assets and liabilities			(1,895	)			(2	)
Net cash provided by operating activities			45,713				34,476
Cash Flows — Investing Activities
Distributions received from equity investments in real estate in excess of equity income			84,734				1,649
Acquisitions of real estate and direct financing leases and other capital expenditures (a)			(318,663	)			(385,545	)
Capital contributions to equity investments in real estate (a)			(229,639	)			(10,300	)
Funding of notes receivable			(30,000	)			—
VAT paid in connection with acquisition of real estate			(3,542	)			(20,368	)
VAT refunded in connection with acquisitions of real estate			29,336				—
Proceeds from sale of real estate			19,821				—
Funds placed in escrow			(23,832	)			(95,534	)
Funds released from escrow			9,553				46,017
Payment of deferred acquisition fees to an affiliate			(8,687	)			(3,213	)
Proceeds from repayment of notes receivable			49,560				7,000
Investment in securities			(2,394	)			—
Net cash used in investing activities			(423,753	)			(460,294	)
Cash Flows — Financing Activities
Distributions paid			(45,753	)			(25,620	)
Contributions from noncontrolling interests			1,185				—
Distributions to noncontrolling interests			(12,625	)			(5,669	)
Scheduled payments of mortgage principal			(6,695	)			(4,806	)
Proceeds from mortgage financing			186,499				192,417
Funds placed in escrow			(2,180	)			(2,412	)
Funds released from escrow			17,936				2,626
Proceeds from loans from affiliates			90,000				—
Repayments of loan from affiliate			(90,000	)			—
Payment of financing costs and mortgage deposits, net of deposits refunded			(7,314	)			(2,729	)
Proceeds from issuance of shares, net of issuance costs			306,362				268,110
Purchase of treasury stock			(4,155	)			(2,412	)
Net cash provided by financing activities			433,260				419,505
Change in Cash and Cash Equivalents During the Period
Effect of exchange rate changes on cash			6,999				(2,197	)
Net increase (decrease) in cash and cash equivalents			62,219				(8,510	)
Cash and cash equivalents, beginning of period			162,745				281,554
Cash and cash equivalents, end of period		$	224,964			$	273,044

Non-cash investing and financing activities:

(a)

The cost basis of real estate investments acquired during the six months ended June 30, 2011 and 2010, including equity investments in real estate, also included deferred acquisition fees payable of $7.9 million and $8.5 million, respectively.

See Notes to Consolidated Financial Statements.

CPA^®:17 – Global 6/30/2011 10-Q — 6

CORPORATE PROPERTY ASSOCIATES 17 — GLOBAL INCORPORATED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Note 1. Organization and Offering

Organization

Corporate Property Associates 17 — Global Incorporated (“CPA^®:17 — Global” and, together with its consolidated subsidiaries and predecessors, “we”, “us” or “our”) is a publicly owned, non-listed real estate investment trust (“REIT”) that invests primarily in commercial properties leased to companies domestically and internationally. As a REIT, we are not subject to United States (“U.S.”) federal income taxation as long as we satisfy certain requirements, principally relating to the nature of our income, the level of our distributions and other factors. We earn revenue principally by leasing the properties we own to single corporate tenants, primarily on a triple-net leased basis, which requires the tenant to pay substantially all of the costs associated with operating and maintaining the property. Revenue is subject to fluctuation because of the timing of new lease transactions, lease terminations, lease expirations, contractual rent adjustments, tenant defaults and sales of properties. At June 30, 2011, our portfolio was comprised of our full or partial ownership interests in 277 fully-occupied properties, substantially all of which were triple-net leased to 43 tenants, and totaled approximately 22 million square feet (on a pro rata basis). In addition, we own 25 self-storage properties and retain a fee interest in a hotel property. We were formed in 2007 and are managed by W. P. Carey & Co. LLC (“WPC”) and its subsidiaries (collectively, the “advisor”).

Public Offering

In November 2007, our registration statement on Form S-11 (File No. 333-140842), covering an initial public offering of up to 200,000,000 shares of common stock at $10.00 per share, was declared effective by the SEC under the Securities Act of 1933, as amended (the “Securities Act”). The registration statement also covered the offering of up to 50,000,000 shares of common stock at $9.50 pursuant to our distribution reinvestment and stock purchase plan. Our shares were initially being offered on a “best efforts” basis by Carey Financial and selected other dealers. We commenced our initial public offering in late December 2007. Since inception through the termination of our initial public offering on April 7, 2011, we raised a total of more than $1.5 billion.

In October 2010, we filed a registration statement on Form S-11 (File No. 333-170225) with the SEC for a continuous public offering of up to $1.0 billion of common stock, which was declared effective by the SEC on April 7, 2011, terminating our initial public offering. The registration statement also covers the offering of up to 50,000,000 shares of common stock at $9.50 pursuant to our distribution reinvestment and stock purchase plan. We refer to the continuous public offering as the “follow-on offering.” From the beginning of the follow-on offering on May 2, 2011 through June 30, 2011, we raised $151.0 million. There can be no assurance that we will successfully sell the full number of shares registered.

We intend to use the net proceeds of these offerings to acquire, own and manage a portfolio of commercial properties leased to a diversified group of companies primarily on a single tenant net lease basis.

Note 2. Basis of Presentation

Our interim consolidated financial statements have been prepared, without audit, in accordance with the instructions to Form 10-Q and, therefore, do not necessarily include all information and footnotes necessary for a fair statement of our consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the U.S. (“GAAP”).

In the opinion of management, the unaudited financial information for the interim periods presented in this Report reflects all normal and recurring adjustments necessary for a fair statement of results of operations, financial position and cash flows. Our interim consolidated financial statements should be read in conjunction with our audited consolidated financial statements and accompanying notes for the year ended December 31, 2010, which are included in our 2010 Annual Report, as certain disclosures that would substantially duplicate those contained in the audited consolidated financial statements have not been included in this Report. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our consolidated financial statements and the accompanying notes. Actual results could differ from those estimates. Certain prior year amounts have been reclassified to conform to the current year presentation.

CPA^®:17 – Global 6/30/2011 10-Q — 7

Notes to Consolidated Financial Statements

Basis of Consolidation

The consolidated financial statements reflect all of our accounts, including those of our majority-owned and/or controlled subsidiaries. The portion of equity in a subsidiary that is not attributable, directly or indirectly, to us is presented as noncontrolling interests. All significant intercompany accounts and transactions have been eliminated.

Because we conduct substantially all of our investment activities and own all of our assets through an operating partnership, substantially all of the assets and liabilities presented in our consolidated balance sheets are attributable to the operating partnership. The following table presents amounts included in the consolidated balance sheets that are not attributable to the operating partnership but rather are attributable to CPA^®:17 — Global, the primary beneficiary of the operating partnership (in thousands):

		June 30, 2011				December 31, 2010
Assets:
Cash and cash equivalents not attributable to consolidated Variable Interest Entity (“VIE”)		$	10,648			$	2,502
Other assets, net not attributable to consolidated VIE			2,001				1,038
Total assets not attributable to VIE		$	12,649			$	3,540
Liabilities:
Due to affiliates not attributable to consolidated VIE		$	(3,602	)		$	(408	)
Distributions payable not attributable to consolidated VIE			(26,898	)			(21,520	)
Total liabilities not attributable to VIE		$	(30,500	)		$	(21,928	)

Because we generally utilize non-recourse debt, our maximum exposure to the operating partnership is limited to the equity we have in the operating partnership. We have not provided financial or other support to the operating partnership, and there were no guarantees or other commitments from third parties that would affect the value of or risk related to our interest in this entity.

Information about International Geographic Areas

At June 30, 2011, our international investments were comprised of investments primarily in Europe. The following tables present information about these investments (in thousands):

		Three Months Ended June 30,								Six Months Ended June 30,
		2011				2010				2011				2010
Revenues		$	13,474			$	6,359			$	25,838			$	10,388

		June 30, 2011				December 31, 2010
Net investments in real estate		$	653,812			$	515,653

Future Accounting Requirements

The following Accounting Standards Updates (“ASUs”) promulgated by the Financial Accounting Standards Board (“FASB”) are applicable to us in current or future reports, as indicated:

ASU 2010-29, Disclosure of Supplementary Pro Forma Information for Business Combinations — In December 2010, the FASB issued an update to Accounting Standards Codification Topic (“ASC”) 805, Business Combinations. The amendments in the update clarify that the pro forma disclosures required under ASC 805 should depict revenue and earnings of the combined entity as though the business combination(s) that occurred during the current year had occurred as of the beginning of the comparable prior annual reporting period. Additionally, the amendments expand the supplemental pro forma disclosures to include a description of the nature and amount of material, nonrecurring pro forma adjustments directly attributable to the business combination(s) included in the reported pro forma revenue and earnings. These amendments impact the form of our disclosures only, are applicable to us prospectively and are effective for our business combinations for which the acquisition date is on or after December 15, 2010.

CPA^®:17 – Global 6/30/2011 10-Q — 8

Notes to Consolidated Financial Statements

ASU 2011-04, Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs — In May 2011, the FASB issued an update to ASC 820, Fair Value Measurements. The amendments in the update explain how to measure fair value and do not require additional fair value measurements, nor are they intended to establish valuation standards or affect valuation practices outside of financial reporting. These new amendments will impact the level of information we provide, particularly for level 3 fair value measurements and the measurement’s sensitivity to changes in unobservable inputs, our use of a nonfinancial asset in a way that differs from that asset’s highest and best use, and the categorization by level of the fair value hierarchy for items that are not measured at fair value in the balance sheet but for which the fair value is required to be disclosed. These amendments are expected to impact the form of our disclosures only, are applicable to us prospectively and are effective for our interim and annual periods beginning in 2012.

ASU 2011-05, Presentation of Comprehensive Income — In June 2011, the FASB issued an update to ASC 220, Comprehensive Income. The amendments in the update change the reporting options applicable to the presentation of other comprehensive income and its components in the financial statements. This update eliminates the option to present the components of other comprehensive income as part of the statement of changes in stockholders’ equity. Additionally, the update requires the consecutive presentation of the statement of net income and other comprehensive income. Finally, the update requires an entity to present reclassification adjustments on the face of the financial statements from other comprehensive income to net income. These amendments impact the form of our disclosures only, are applicable to us retrospectively and are effective for our interim and annual periods beginning in 2012.

Note 3. Agreements and Transactions with Related Parties

Transactions with the Advisor

We have an advisory agreement with the advisor whereby the advisor performs certain services for us for a fee. The current term of the agreement expires on September 30, 2011, subject to renewal. Under the terms of this agreement, the advisor manages our day-to-day operations, for which we pay the advisor asset management fees and certain cash distributions, and structures and negotiates the purchase and sale of investments and debt placement transactions for us, for which we pay the advisor structuring and subordinated disposition fees. In addition, we reimburse the advisor for organization and offering costs incurred in connection with our offering and for certain administrative duties performed on our behalf. We also have certain agreements with joint ventures. The following tables present a summary of fees we paid and expenses we reimbursed to the advisor in accordance with the advisory agreement (in thousands):

		Three Months Ended June 30,								Six Months Ended June 30,
		2011				2010				2011				2010
Amounts included in operating expenses:
Asset management fees (a)		$	3,081			$	1,251			$	5,930			$	2,190
Distribution of available cash			1,973				1,187				3,788				1,693
Personnel reimbursements (b)			428				193				816				353
Office rent reimbursements (b)			67				31				142				64
		$	5,549			$	2,662			$	10,676			$	4,300
Transaction fees incurred:
Current acquisition fees (c)		$	2,647			$	7,275			$	10,576			$	11,019
Deferred acquisition fees (c) (d)			1,518				5,820				7,868				8,815
		$	4,165			$	13,095			$	18,444			$	19,834

Unpaid transaction fees:		June 30, 2011				December 31, 2010
Deferred acquisition fees		$	18,986			$	19,809
Subordinated disposition fees (e)			202				—
		$	19,188			$	19,809

CPA^®:17 – Global 6/30/2011 10-Q — 9

Notes to Consolidated Financial Statements

Organization and Offering Expenses

The total costs paid by the advisor and its affiliates in connection with the organization and offering of our securities were $15.9 million from inception through June 30, 2011, of which $12.9 million had been reimbursed as of June 30, 2011.

Joint Ventures and Other Transactions with Affiliates

On May 2, 2011, we purchased interests in three ventures, the Hellweg Die Profi-Baumarkte GmbH & Co. KG (“Hellweg 2”) venture, the U-Haul Moving Partners, Inc. and Mercury Partners, LP (“U-Haul”) venture and the Dick’s Sporting Goods, Inc. (“Dick’s”) venture, from one of our affiliates, Corporate Property Associates 14 Incorporated (“CPA^®:14”), for an aggregate purchase price of $55.7 million (Note 6). The acquisitions were made pursuant to an agreement entered into between us and CPA^®:14 in December 2010, and were conditioned upon completion of the merger of CPA^®:14 with and into a subsidiary of another one of our affiliates, Corporate Property Associates 16 — Global Incorporated (“CPA^®:16 — Global”), which occurred on the same date (the “CPA^®:14/16 Merger”). The purchase price was based on the appraised values of the underlying venture properties and the non-recourse mortgage debt on the properties. In connection with the acquisition, we also purchased from CPA^®:14 certain warrants, which were initially granted by Hellweg 2 to CPA^®:14 in connection with the initial lease transaction, for a total cost of $0.8 million, which is based on the fair value of the warrants of $1.6 million less the assumption of a related liability of $0.8 million on the date of acquisition. These warrants give us participation rights to any distributions made by Hellweg 2. In addition, we are entitled to a cash distribution that equals to a certain percentage of the liquidity event price of Hellweg 2, should a liquidity event occur. Because these warrants are readily convertible to cash and provide for net cash settlement upon conversion, we account for them as derivative instruments, which are measured at fair value and record them as assets, with the changes in the fair value recognized in earnings.

We own interests in entities ranging from 12% to 85%, as well as jointly-controlled tenant-in-common interests in properties, with the remaining interests generally held by affiliates. We consolidate certain of these investments and account for the remainder under the equity method of accounting.

In February 2011, we borrowed $90.0 million at an annual interest rate of 1.15% from the advisor to fund the acquisition of a venture that purchased properties from C1000 B.V. (“C1000”) (Note 6). We repaid this loan on April 8, 2011, the maturity date.

Note 4. Net Investments in Properties and Real Estate Under Construction

Real Estate

Real estate, which consists of land and buildings leased to others, at cost, and accounted for as operating leases, is summarized as follows (in thousands):

		June 30, 2011				December 31, 2010
Land		$	281,841			$	242,145
Buildings			812,130				688,259
Less: Accumulated depreciation			(28,191	)			(16,274	)
		$	1,065,780			$	914,130

CPA^®:17 – Global 6/30/2011 10-Q — 10

Notes to Consolidated Financial Statements

Acquisitions of Real Estate

During the six months ended June 30, 2011, we entered into five domestic investments, which were classified as operating leases, including our $100.0 million investment with Terminal Freezers, Inc. for three cold storage facilities, at a total cost of $144.4 million, including net lease intangible assets totaling $17.1 million (see Other below) and acquisition-related fees and expenses. In connection with these investments, which we deemed to be real estate asset acquisitions under current authoritative accounting guidance, we capitalized acquisition-related costs and fees totaling $6.5 million.

Operating Real Estate

Operating real estate, which consists primarily of our hotel and self-storage operations, at cost, is summarized as follows (in thousands):

		June 30, 2011				December 31, 2010
Land		$	24,690			$	1,330
Buildings			78,960				10,483
Furniture, Fixtures & Equipment			364				364
Less: Accumulated depreciation			(539	)			(300	)
		$	103,475			$	11,877

Acquisitions of Operating Real Estate

During the six months ended June 30, 2011, we entered into two domestic investments, which consisted of 25 self-storage properties at a total cost of $89.4 million, including net lease intangible assets totaling $3.4 million (see Other below). As these acquisitions were deemed to be business combinations under current authoritative accounting guidance, we expensed the acquisition-related fees and expenses of $2.7 million, which are included in General and administrative expenses in the consolidated financial statements.

Real Estate Under Construction

During the six months ended June 30, 2011, we entered into eight build-to-suit projects located in the U.S., seven of which were with Dollar General Corp. as part of an estimated $40.0 million platform build-to-suit program covering up to 40 facilities, for a total cost of up to $21.9 million on these eight projects, based on estimated construction costs at the respective dates of acquisition. In connection with these investments, which were deemed to be real estate acquisitions under current authoritative accounting guidance, we capitalized acquisition-related costs and fees totaling $1.0 million. Costs incurred and capitalized on our build-to-suit projects through June 30, 2011 totaled $82.9 million, including fundings of $2.3 million on projects entered into during 2011 and $24.4 million, net of amounts placed in service in 2011, on projects entered into in 2010, which have been included as Real estate under construction in the consolidated balance sheet.

At December 31, 2010, Real estate under construction consisted of $53.0 million in costs incurred and/or capitalized on several build-to-suit projects located in the U.S. and Poland.

Other

In connection with our prior acquisitions of properties, we have recorded net lease intangibles of $265.7 million, including $20.5 million of net lease intangibles acquired in connection with our investment activity during the three months ended June 30, 2011. These intangible assets and liabilities are being amortized over periods ranging from 10 years to 40 years. In-place lease, tenant relationship and above-market rent intangibles are included in Intangible assets, net in the consolidated financial statements. Below-market rent intangibles are included in Prepaid and deferred rental income. Amortization of below-market and above-market rent intangibles is recorded as an adjustment to Lease revenues in the consolidated financial statements, while amortization of in-place lease and tenant relationship intangibles is included in Depreciation and amortization. Net amortization of intangibles, including the effect of foreign currency translation, was $3.6 million and $1.3 million for the three and six months ended June 30, 2011 and $6.9 million and $1.9 million for the three and six months ended June 30, 2010, respectively.

CPA^®:17 – Global 6/30/2011 10-Q — 11

Notes to Consolidated Financial Statements

Note 5. Finance Receivables

Assets representing rights to receive money on demand or at fixed or determinable dates are referred to as finance receivables. Our finance receivable portfolios consist of our Net investments in direct financing leases and notes receivable. Operating leases are not included in finance receivables as such amounts are not recognized as an asset in the consolidated balance sheets.

Acquisitions of Net Investments in Direct Financing Leases

In April 2011, we entered into a domestic net lease financing transaction with Flanders Corporation for $50.8 million, including acquisition-related fees and expenses. In connection with this investment, which was deemed to be a real estate asset acquisition under current authoritative accounting guidance, we capitalized acquisition-related fees and expenses of $2.3 million.

Notes Receivable

In December 2010, we provided financing of $40.0 million to China Alliance Properties Limited, a subsidiary of Shanghai Forte Land, Co., Ltd (“Forte”). The financing was provided through a collateralized loan that is guaranteed by Forte’s parent company, Fosun International Limited, and has an interest rate of 11% and matures in December 2015. At June 30, 2011 and December 31, 2010, the balance of the note receivable was $40.0 million.

During the first quarter of 2011, our participation in the limited-recourse mortgage loan related to our New York Times venture was repaid in full in connection with the refinancing of this loan (Note 9). At December 31, 2010, the balance of the note receivable was $49.6 million.

In June 2011, we provided financing of $30.0 million to a developer, BPS Partners, LLC (“BPS”), in connection with the construction of a shopping center, which includes a Walgreens store, in Las Vegas, Nevada. In connection with the loan, we received an option to purchase the second floor of the Walgreens store or to exchange the $30.0 million loan for an equity interest in BPS. This loan is secured by the property and personally guaranteed by each of the principals of BPS, has an annual interest rate of 0.5% and matures in September 2013. On its maturity date, if we do not elect to exchange the loan for an equity interest in BPS, we will receive additional interest at an annual rate of 7.5% from inception through maturity as consideration for making the loan. At June 30, 2011, the balance of this note receivable was $30.0 million.

Credit Quality of Finance Receivables

We generally seek investments in facilities that are critical to the tenant’s business and that we believe have a low risk of tenants’ defaults. At June 30, 2011 and December 31, 2010, none of the balances of our finance receivables were past due and we had not established any allowances for credit losses. Additionally, there have been no modifications of finance receivables. We evaluate the credit quality of our tenant receivables utilizing an internal 5-point credit rating scale, with 1 representing the highest credit quality and 5 representing the lowest. The credit quality evaluation of our tenant receivables was last updated in the second quarter of 2011.

A summary of our finance receivables by internal credit quality rating is as follows (dollars in thousands):

						Number of Tenants								Net Investments in Direct Financing Leases at
Internal Credit Quality Indicator						June 30, 2011				December 31, 2010				June 30, 2011				December 31, 2010
1							—				—			$	—			$	—
2							3				5				87,008				100,255
3							5				2				365,877				271,734
4							—				1				—				25,017
5							—				—				—				—
														$	452,885			$	397,006

CPA^®:17 – Global 6/30/2011 10-Q — 12

Notes to Consolidated Financial Statements

						Number of Obligors at								Notes Receivable at
Internal Credit Quality Indicator						June 30, 2011				December 31, 2010				June 30, 2011				December 31, 2010
1							1				—			$	30,000			$	—
2							1				1				40,000				40,000
3							—				1				—				49,560
4							—				—				—				—
5							—				—				—				—
														$	70,000			$	89,560

At June 30, 2011 and December 31, 2010, Other assets, net included $1.4 million and $2.2 million, respectively, of accounts receivable related to amounts billed under these direct financing leases.

Note 6. Equity Investments in Real Estate

We own interests in single-tenant net leased properties leased to corporations through noncontrolling interests (i) in partnerships and limited liability companies that we do not control but over which we exercise significant influence, and (ii) as tenants-in-common subject to common control. Generally, the underlying investments are jointly-owned with affiliates. We account for these investments under the equity method of accounting (i.e., at cost, increased or decreased by our share of earnings or losses, less distributions, plus contributions and other adjustments required by equity method accounting, such as basis differences from other-than-temporary impairments).

The following table sets forth our ownership interests in our equity investments in real estate and their respective carrying values (dollars in thousands):

		Ownership Interest				Carrying Value at
Lessee		at June 30, 2011				June 30, 2011				December 31, 2010
C1000 B.V. (a) (b)			85	%		$	99,643			$	—
U-Haul Moving Partners, Inc. and Mercury Partners, LP (c)			12	%			29,408				—
Tesco plc (a)			49	%			20,707				19,903
Hellweg Die Profi-Baumarkte GmbH & Co. KG (a)(c)			32	%			20,570				—
Berry Plastics Corporation			50	%			19,853				20,330
Eroski Sociedad Cooperativa — Mallorca (a)			30	%			11,467				10,620
Dick’s Sporting Goods, Inc. (c)			45	%			5,753				—
						$	207,401			$	50,853

The following tables present combined summarized financial information of our venture properties. Amounts provided are the total amounts attributable to the venture properties and do not represent our proportionate share (in thousands):

		June 30, 2011				December 31, 2010
Assets		$	1,233,307			$	203,989
Liabilities			(815,612	)			(79,786	)
Partners’/members’ equity		$	417,695			$	124,203

CPA^®:17 – Global 6/30/2011 10-Q — 13

Notes to Consolidated Financial Statements

		Three Months Ended June 30,								Six Months Ended June 30,
		2011				2010				2011				2010
Revenues		$	20,926			$	3,688			$	28,424			$	7,282
Expenses			(17,117	)			(3,562	)			(21,887	)			(6,532	)
Net income		$	3,809			$	126			$	6,537			$	750

We recognized income from equity investments in real estate of $0.9 million and $2.7 million for the three and six months ended June 30, 2011, respectively, and $0.1 million and $0.5 million for the three and six months ended June 30, 2010, respectively. Income from equity investments in real estate represents our proportionate share of the income or loss of these ventures as well as certain depreciation and amortization adjustments related to other-than-temporary impairment charges.

Acquisitions of Equity Investments

In January 2011, we and our affiliate, Corporate Property Associates 15 Incorporated (“CPA^®:15”), acquired a venture as a tenancy-in-common in which we and CPA^®:15 hold interests of 85% and 15%, respectively, and that we account for under the equity method of accounting. The venture purchased properties from C1000 B.V., a Dutch supermarket chain, for $207.6 million. Our share of the purchase price was $176.5 million, which was funded in part with a $90.0 million short-term loan from the advisor that has since been repaid (Note 3). In connection with this transaction, the venture capitalized acquisition-related costs and fees totaling $12.5 million, of which our share was $10.6 million. In March 2011, the venture obtained non-recourse financing totaling $98.3 million and distributed the net proceeds to the venture partners, of which our share was $82.3 million. This mortgage loan bears interest at a variable rate equal to the three-month Euro inter-bank offered rate (“Euribor”) plus 2% and matures in March 2013. Amounts above are based upon the exchange rate of the Euro at the dates of acquisition and financing.

In May 2011, we acquired interests of 32%, 12% and 45% in the Hellweg 2, U-Haul and Dick’s ventures, respectively, from CPA^®:14 for an aggregate purchase price of a $55.7 million (Note 3). These ventures are jointly-owned with other affiliates. Because we do not control these ventures but we exercise significant influence over them, we account for our interests in these ventures as equity investments. The properties that the ventures own and the mortgages encumbering the properties had a total fair value of $947.3 million and $581.6 million, respectively, at the date of acquisition. Amounts provided are the total amounts attributable to the venture properties and do not represent the proportionate share that we purchased. Amounts are based on the exchange rate of the Euro at the date of acquisition, as applicable.

Note 7. Fair Value Measurements

Under current authoritative accounting guidance for fair value measurements, the fair value of an asset is defined as the exit price, which is the amount that would either be received when an asset is sold or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The guidance establishes a three-tier fair value hierarchy based on the inputs used in measuring fair value. These tiers are: Level 1, for which quoted market prices for identical instruments are available in active markets, such as money market funds, equity securities and U.S. Treasury securities; Level 2, for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument, such as certain derivative instruments including interest rate caps and swaps; and Level 3, for which little or no market data exists, therefore requiring us to develop our own assumptions, such as certain warrants and other securities.

Items Measured at Fair Value on a Recurring Basis

The following methods and assumptions were used to estimate the fair value of each class of financial instrument:

Money Market Funds — Our money market funds consisted of government securities and U.S. Treasury bills. These funds were classified as Level 1 as we used quoted prices from active markets to determine their fair values.

Derivative Assets and Liabilities — Our derivative assets and liabilities are comprised of interest rate swaps, interest rate caps, foreign currency exchange contracts and stock warrants that were granted to us by lessees in connection with structuring initial lease transactions. Interest rate swaps and caps and foreign currency exchange contracts were measured at fair value using readily observable market inputs, such as quotations on interest rates and foreign currency exchange rates. These derivative instruments were classified as Level 2 because these instruments are custom, over-the-counter contracts with various bank counterparties that are not traded in an active market. The stock warrants that we own are not traded in an active market. We estimated the fair value of stock warrants using internal valuation models that incorporate market inputs and our own assumptions about future cash flows. We classified stock warrants as Level 3.

CPA^®:17 – Global 6/30/2011 10-Q — 14

Notes to Consolidated Financial Statements

The following tables set forth our assets and liabilities that were accounted for at fair value on a recurring basis. Assets and liabilities presented below exclude assets and liabilities owned by unconsolidated ventures (in thousands):

						Fair Value Measurements at June 30, 2011 Using:
						Quoted Prices in
						Active Markets for				Significant Other				Unobservable
						Identical Assets				Observable Inputs				Inputs
Description		Total				(Level 1)				(Level 2)				(Level 3)
Assets:
Money market funds		$	6,000			$	6,000			$	—			$	—
Derivative assets			2,962				—				1,279				1,683
Total		$	8,962			$	6,000			$	1,279			$	1,683
Liabilities:
Derivative liabilities		$	(1,498	)		$	—			$	(1,498	)		$	—
Total		$	(1,498	)		$	—			$	(1,498	)		$	—

						Fair Value Measurements at December 31, 2010 Using:
						Quoted Prices in
						Active Markets for				Significant Other				Unobservable
						Identical Assets				Observable Inputs				Inputs
Description		Total				(Level 1)				(Level 2)				(Level 3)
Assets:
Money market funds		$	102,084			$	102,084			$	—			$	—
Derivative assets			751				—				751				—
Total		$	102,835			$	102,084			$	751			$	—
Liabilities:
Derivative liabilities		$	(2,215	)		$	—			$	(2,215	)		$	—
Total		$	(2,215	)		$	—			$	(2,215	)		$	—

		Fair Value Measurements Using Significant
		Unobservable Inputs (Level 3 Only)
		Three Months Ended				Six Months Ended
		June 30, 2011				June 30, 2011
		Derivative Assets
Beginning balance		$	—			$	—
Total gains or losses (realized and unrealized):
Included in earnings			66				66
Purchases			1,617				1,617
		$	1,683			$	1,683
The amount of total gains or losses for the period included in earnings attributable to the change in unrealized gains or losses relating to assets still held at the reporting date		$	66			$	66

We did not have any transfers into or out of Level 1, Level 2 and Level 3 measurements during the three and six months ended June 30, 2011 and 2010. Gains and losses (realized and unrealized) included in earnings are reported in Other income and (expenses) in the consolidated financial statements.

CPA^®:17 – Global 6/30/2011 10-Q — 15

Notes to Consolidated Financial Statements

Our other financial instruments had the following carrying values and fair values as of the dates shown (in thousands):

		June 30, 2011								December 31, 2010
		Carrying Value				Fair Value				Carrying Value				Fair Value
Debt		$	864,273			$	867,489			$	667,478			$	674,225
CMBS (a)			3,787				7,544				3,797				4,677

We determined the estimated fair value of our debt instruments using a discounted cash flow model with rates that take into account the credit of the tenants and interest rate risk. We estimated that our other financial assets and liabilities (excluding net investments in direct financing leases) had fair values that approximated their carrying values at both June 30, 2011 and December 31, 2010.

Items Measured at Fair Value on a Non-Recurring Basis

We perform an assessment, when required, of the value of certain of our real estate investments in accordance with current authoritative accounting guidance. As part of that assessment, we determined the valuation of these assets using widely accepted valuation techniques, including expected discounted cash flows or an income capitalization approach, which considers prevailing market capitalization rates. We reviewed each investment based on the highest and best use of the investment and market participation assumptions. We determined that the significant inputs used to value these investments fall within Level 3. We did not recognize any impairment charges during the three and six months ended June 30, 2011 and 2010. The valuation of real estate is subject to significant judgment and actual results may differ materially if market conditions or the underlying assumptions change.

None of our other assets or liabilities was measured on a fair value basis for the three and six months ended June 30, 2011 and 2010.

Note 8. Risk Management and Use of Derivative Financial Instruments

Risk Management

In the normal course of our ongoing business operations, we encounter economic risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. We are primarily subject to interest rate risk on our interest-bearing assets and liabilities and our CMBS investments. Credit risk is the risk of default on our operations and tenants’ inability or unwillingness to make contractually required payments. Market risk includes changes in the value of our properties and related loans as well as changes in the value of our CMBS investments due to changes in interest rates or other market factors. In addition, we own investments in Europe and are subject to the risks associated with changing foreign currency exchange rates.

Foreign Currency Exchange

We are exposed to foreign currency exchange rate movements in the Euro and British Pound Sterling. We manage foreign currency exchange rate movements by generally placing both our debt obligation to the lender and the tenant’s rental obligation to us in the same currency, but we are subject to foreign currency exchange rate movements to the extent of the difference in the timing and amount of the rental obligation and the debt service. We may also face challenges with repatriating cash from our foreign investments. We may encounter instances where it is difficult to repatriate cash because of jurisdictional restrictions or because repatriating cash may result in current or future tax liabilities. Realized and unrealized gains and losses recognized in earnings related to foreign currency transactions are included in Other income and (expenses) in the consolidated financial statements.

Use of Derivative Financial Instruments

When we use derivative instruments, it is generally to reduce our exposure to fluctuations in interest rates. We have not entered, and do not plan to enter into financial instruments for trading or speculative purposes. In addition to derivative instruments that we entered into on our own behalf, we may also be a party to derivative instruments that are embedded in other contracts, and we may own common stock warrants, granted to us by lessees when structuring lease transactions, that are considered to be derivative instruments. The primary risks related to our use of derivative instruments are that a counterparty to a hedging arrangement could default on its

CPA^®:17 – Global 6/30/2011 10-Q — 16

Notes to Consolidated Financial Statements

obligation or that the credit quality of the counterparty may be downgraded to such an extent that it impairs our ability to sell or assign our side of the hedging transaction. While we seek to mitigate these risks by entering into hedging arrangements with counterparties that are large financial institutions that we deem to be creditworthy, it is possible that our hedging transactions, which are intended to limit losses, could adversely affect our earnings. Furthermore, if we terminate a hedging arrangement, we may be obligated to pay certain costs, such as transaction or breakage fees. We have established policies and procedures for risk assessment and the approval, reporting and monitoring of derivative financial instrument activities.

We measure derivative instruments at fair value and record them as assets or liabilities, depending on our rights or obligations under the applicable derivative contract. Derivatives that are not designated as hedges must be adjusted to fair value through earnings. If a derivative is designated as a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedged asset, liability, or firm commitment through earnings or recognized in Other comprehensive income (“OCI”) until the hedged item is recognized in earnings. The ineffective portion of a derivative’s change in fair value is immediately recognized in earnings.

The following table sets forth certain information regarding our derivative instruments (in thousands):

				Balance Sheet		Asset Derivatives Fair Value at							Liability Derivatives Fair Value at
				Location		June 30, 2011			December 31, 2010				June 30, 2011				December 31, 2010
Derivatives Designated as Hedging Instruments
Interest rate cap				Other assets, net		$	326		$	733			$	—			$	—
Interest rate swap				Other assets, net			120			18				—				—
Foreign currency contracts				Other assets, net			833			—				—				—
Interest rate swap				Accounts payable, accrued expenses and other liabilities			—			—				(1,498	)			(1,134	)
Foreign currency contracts				Accounts payable, accrued expenses and other liabilities			—			—				—				(1,081	)
Derivatives Not Designated as Hedging Instruments
Stock warrants				Other assets, net			1,683			—				—				—
Total derivatives						$	2,962		$	751			$	(1,498	)		$	(2,215	)