SUNRISE SENIOR LIVING INC - FORM 8-K - EX-99.1 - EXHIBIT 99.1 - February 7, 2012

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8-K - FORM 8-K - SUNRISE SENIOR LIVING INCd295916d8k.htm
UBS Global Healthcare
Services Conference
February 7, 2012
Mark S. Ordan, Chief Executive Officer
Exhibit 99.1

Disclaimer
2
Some of the statements in this presentation, as well as statements made by management, may be forward-looking
statements that are based on management’s current assumptions, expectations and projections regarding our business and
performance, the economy and forecasts of future events, circumstances and results. Forward-looking statements include
statements concerning the projected future performance of Sunrise and the markets in which we operate.
These forward-looking statements speak only as of the date of this presentation. We undertake no obligation to update any
forward-looking statements to reflect the events or circumstances arising after the date as of which they are made. As with
any projection or forecast, they are inherently susceptible to uncertainty and changes in circumstances.  Our actual results
may differ materially from those set forth in our forward-looking statements, depending on various factors including the
risks and uncertainties described in filings made with the Securities and Exchange Commission. As a result of these risks
and uncertainties, recipients of this presentation are cautioned not to place undue reliance on the forward-looking
statements included in this presentation or that may be made elsewhere from time to time by, or on behalf of, us. 
This presentation may contain statistics and other data that may have been obtained or compiled from information made
available by third-party service providers. While we believe these sources to be reliable, accuracy and completeness of the
information cannot be guaranteed.
This presentation contains certain supplemental non-GAAP financial measures.  While we believe that non-GAAP financial
measures are helpful in evaluating our operating performance, the use of non-GAAP financial measures in this presentation
should not be considered in isolation from, or as an alternative for, a measure of financial or operating performance as
defined by GAAP.  You are cautioned that there are inherent limitations associated with the use of each of these
supplemental non-GAAP financial measures as an analytical tool.  Reconciliations of certain non-GAAP financial measures to
the most directly comparable GAAP financial measures can be found in the Appendix to this presentation and the Company’s
supplemental information packages and 2010 Annual Report, which are available on the Company’s website at
www.sunriseseniorliving.com.
Unless otherwise noted herein, all the information contained in this presentation is presented as of February 7, 2012.

Sunrise Today
Owner/Operator of Senior Living Assets
Manager of Senior Living Communities
Joint Venture Partners in Senior Living
Among
the Largest:
What We Do:
Memory Care
Assisted Living
311 Sunrise
Communities
269 Communities in the United States
15 Communities in Canada
27 Communities in the United Kingdom
3
Independent Living
Skilled Nursing

Our Heritage Continues
Founded in 1981 by Paul and
Terry Klaassen, who continue
to actively support our
mission and residents’
experience
Everything we do is intended
to champion quality of life
for ALL
seniors
Today, we are led by a group of
seasoned executives with deep
experience in:
•
Senior Care and Assisted
Living
•
Memory Care
•
Real Estate
•
Finance and Capital Markets
•
Real Asset Management
•
Public Company Governance
and Shareholder Return
4

Our Experienced Team
Positions Us for Our Future
Management Team
Name
Title
Years of Relevant
Experience
Years with
Sunrise
Mark S. Ordan
Chief Executive Officer
25+ years
3+ years
Greg Neeb
Chief Investment & Administrative
Officer
20+ years
3+ years
Marc Richards
Chief Financial Officer
15+ years
2+ year
David Haddock
General Counsel and Secretary
15+ years
6+ years
Laura McDuffie
Head of Operations
15+ years
9+ years
Edward Burnett
SVP, Capital Markets
10+ years
2+ years
Nancy King
SVP, Resident Care & Services
25+ years
0+ years
Philip Kroskin
SVP, Asset Management & Real Estate
19+ years
2+ years
Meghan Lublin
VP, Corporate Marketing &
Communications
12+ years
7+ years
Kelly Myers
SVP, Sales
21+ years
11+ years
David Pratt
SVP, Corporate Finance
10+ years
6+ years
Mike Rodis
SVP, Human Resources
30+ years
2+ years
Founders
Name
Title
Years of Relevant
Experience
Years with
Sunrise
Paul Klaassen
Founder and Chairman
30+ years
30 years
Terry Klaassen
Founder and Special Advisor
30+ years
30 years
5
Team successfully navigated the recapitalization and has positioned the company for the future

Our Culture:
Providing the Sunrise Signature Experience
Just part of what sets us apart.
6
We Create Relationship-Based Care
Our designated care managers form rich
relationships by getting to know our residents’
preferences, from what time they like to wake
up in the morning to their favorite meal.
A Team of Serving Hearts
Our teams hone their skills through hands-on
experience and in-depth training programs at
our own Sunrise University – so each team
member is delivering care the Sunrise way.
Offering Peace of Mind
Residents and families can have peace of mind
in knowing that we’re here for them around
the clock. We work hard to make sure all
residents are living life to the fullest, not
worrying about anything else.
Celebrating the Joy of Every Day
We strive to give every resident at Sunrise a life
filled with purpose and hope. Our
commitment to making every day special is
what makes the Sunrise experience so unique.
Enriching Mind, Body & Spirit
Vibrant activities programs designed around
residents’ interests, so there’s always something
fulfilling to do.
With All the Comforts of Home
Communities designed to look and feel like
home, from our community cat and dog to our
fresh-cut flowers, and hundreds of special
touches to make life easier.

Enriching Mind, Body & Spirit
•
Qualified team, led by a coordinator-level position
focused solely on activities, offers several meaningful
and engaging activities a day
•
Activities intended to benefit the mind, body and
spirit of all of our residents, from exercise programs
like tai-chi to social activities like wine & cheese
happy hours and group outings
•
Sunrise’s new Dining Program features delicious
meals made from scratch every day by our trained
culinary team
•
Residents enjoy the freshest, local ingredients and
an assortment of menu choices designed with their
health, tastes and preferences in mind
Our residents enjoy the very best in senior living from fulfilling activities to
home-cooked
meals
–
we
stop
at
nothing
to
create
a
warm,
enriching
home.
“During the (short time) mom has been at
Sunrise, she has blossomed –
she smiles more than
she has in years; she’s made new friends; she’s
involved in activities and she is totally satisfied in
her new environment. She loves everything.”
-
Family member, Sunrise at North Farmington Hills,  MI
7
“(He) mentioned that he wanted
spaghetti and meatballs. As soon
as it was said, the chef started
making that special dish…and
every Tuesday ever since.”
Family
member, Sunrise of West Babylon, NY

Premium product offering of resident-centered services for seniors
Second-largest
provider
of
assisted
living
services
in
the
country*
An Individualized Service Plan of care is delivered by a team of
designated care managers
(DCMs)
As care needs increase, seniors can “age in place”
Assisted Living (57%)
Skilled Nursing &
Rehabilitative Care (3%)
Independent Living
(16%)
Active seniors enjoy an independent, maintenance-free lifestyle with on-call assistance; additional
services may also be arranged as care needs change
Properties are predominantly rental, but also include co-operatives, equity sales and numerous
entrance fee models
Memory Care (24%)
Largest
provider
of
memory
care
services
in
the
country*
DCMs are trained in therapeutic techniques to validate resident emotions and understand their
needs in a secure “Reminiscence Neighborhood”
Life
enrichment
managers
develop
and
adapt
meaningful
activities
that
incorporate
resident
interests and evoke pleasant memories
A Home for ALL Seniors
*Source: Assisted Living Federation of America
8
Service Highlights
Focus on short-term, rehabilitative stays with a goal of returning the resident
to the most
independent living setting possible; approach has more than doubled Medicare coverage
over the past several years
Generates several hundred move-ins to Sunrise neighborhoods each year
Due to Total ADR of $390, skilled nursing represents 7.5% of total revenue in U.S.

Built For the Long-Term Benefit
of Our Residents
9
Mansion
AL -
Other
Campus Mansion
Brighton Gardens
Full Service
Neighborhoods*
AL, TC, REM
AL, REM
IL, AL, TC, REM
AL, REM, some HC
IL, AL, REM, HC
Communities
212
34
10
30
25
Design
1 Bldg.
2 bldgs.
1 bldg.
Multi. Buildings
1-4 stories
Mixed; acquisition
2-4 stories
2-4 stories
3-8 stories
Wood or Steel
assets
Wood and Steel
Wood and Steel
Wood and Steel
Typical Size
68-92 units
29-117 units
140-160 units
88-152 units
200-250 units
50-80,000 sq ft
20-150,000 sq ft
150,000 sq ft
60-90,000 sq ft
200,000 sq ft
*IL -
Independent
Living;
AL
-
Assisted
Living;
TC
-
Terrace
Club
(early-stage
memory
care);
REM
-
Reminiscence
(advanced
memory
care);
HC
-
Health
Care/Skilled
Nursing

Attractive & Growing Market
Growing
Senior
Population
•
Over 70MM seniors 65+ by 2040, making
up 20% of the total US population
•
85+ population projected to grow 3%
annually over the next 40 years
Assistance Increases with Age
Need for
Care
Increases
with Age
•
Today’s seniors are healthier than in the
past, but many still have difficulty with
Activities of Daily Living (ADLs)
•
19% of 70-74 year olds and 50% of 85+
year olds require assistance with ADLs
Rising Net
Worth of
Seniors
•
Today’s elderly have more wealth than in
the past (~$163K, up 42% since 1995)
•
Dramatic increase in residential net equity
over the past decade
Increasing
Popularity
of Senior
Housing
•
According to a recent NIC survey, 60+
population living in age-qualified housing
increased from 7% to 12% from 1998 –
2007
•
Consumer awareness has increased ~14%
over that same time period
Consistent
Occupancy
/ Rental
Rate
Growth
•
Median occupancy has remained above 90%
since 1994
•
Rents have grown 5% annually for ALF and
4% for ILF since 2000
% Requiring Assistance with ADLs
Population of US Seniors Rising
MM of US Population
75 and over
65 and over
Men
Women
Sources:  US Census Bureau, Joint Center of Housing Studies, NIC
National Housing Survey, Federal Reserve Board and ASHA
10

Major Metropolitan Concentration
11

Aligned with the Finest
Institutions, Owners, and Lenders
12

Attractive Growth Opportunities
13

Significant Progress
Our recapitalization is substantially complete and we are beginning to
implement our disciplined growth strategy
14
(1)
Reflects 2011 3 months ended 9/30/11 figure and
includes $3.2MM of the following items: $1.1MM in
professional fees relating to previously announced
venture transactions, and $2.1MM in severance.  The
figure also includes $2.2MM in non-cash stock
compensation.
(2)
Shares issued and outstanding as of 9/30/11 and closing
share price as of 2/3/12.
Initiative
Accomplishments
A Restructured
Company
Positioned
for
the
Future
-
Now
Solidified
Balance Sheet
Stabilized
Revenue Streams
Rationalize
Cost Structure
Execute
Disciplined
Growth Strategy
Restructured
4
of
the
5
largest
management
contracts
Restructured key relationships with Ventas and HCP
Obtained
3
party
approval
to
extend
leases
on
4
communities
Re-focus on Mansion product
Reduced G&A significantly from 2008 levels
Eliminated approximately 200 corporate overhead positions
Continuing rationalization in 2011
Deleted non-core businesses and assets and related costs
Drive internal growth across portfolio
Acquire accretive real estate
4 Years of Progress
12/31/2008
12/31/2009
12/31/2010
Current
# of
435
384
319
311
Communities
G&A and
$127MM
$129MM
$28.3MM (1)
Development
(full year)
(full year)
(full year)
Expense
Equity Market
$85MM
$180MM
$308MM
$467MM (2)
Cap
$184MM
rd
Closed $50MM revolver
Significantly reduced corporate recourse liabilities
Restructured over $1B of debt in default (venture and
consolidated)
Two significant ongoing defaults exist in the United Kingdom
and with our Washington, DC condominium project (see p. 23
of the Appendix for further detail)
Exited Germany and other unprofitable businesses

Summary
Premium product offering of resident-centered services for seniors
High-quality, purpose-built assets located in top metropolitan markets
Sector leading brand, reputation and senior living expertise
Leading Provider of
Senior Living
Services
Favorable Industry
Backdrop
Compelling
supply
and
demand
drivers
with
aging
demographics
and
limited
new supply of senior housing
Leader in memory care and assisted living
Strong Growth
Prospects
Internal growth from continued occupancy gains and rate increases
Focus on “owning more of what we manage”
Opportunity to capitalize on our brand, expertise and sector leading care
Well-Positioned
Capital Structure
Recapitalization substantially complete
Completed $50MM credit facility with new lender
Proven Management
Team
Significant relevant experience in the industry
Successfully implemented recapitalization strategy
Founders are pioneers of assisted living industry
15

16
Appendix

Current View of Sunrise
by Business Line
17
Stabilized Properties
2)
Unit Occupancy
Net Operating Income
1)
Revenue per Occupied Unit
Three Months Ended
Three Months Ended
Three Months Ended
September 30,
September 30,
September 30,
Ownership Type
Comm.
Units
2011
2011
2011
Consolidated
4)
23
2,103
86.2%
11,047,836
$                     
217.96
$                                
Leased
4)
26
5,675
88.2%
18,201,096
166.29
Joint Ventures-US
75
5,577
87.9%
31,398,502
232.64
Joint Ventures-UK
5
434
91.8%
4,140,027
309.86
Managed
142
13,142
88.0%
68,919,318
217.77
Total Stabilized
271
26,931
87.9%
133,706,779
$                   
211.52
Lease-Up Properties
3)
Unit Occupancy
Net Operating Income
1)
Revenue per Occupied Unit
Three Months Ended
Three Months Ended
Three Months Ended
September 30,
September 30,
September 30,
Ownership Type
Comm.
Units
2011
2011
2011
Consolidated
4)
1
99
61.4%
277,423
$                          
245.91
$                                
Joint Ventures-US
17
1,862
70.1%
6,350,786
219.22
Joint Ventures-UK
22
1,831
87.2%
14,691,193
300.41
Total Lease Up
40
3,792
78.1%
21,319,402
$                     
263.52
Total Properties
Unit Occupancy
Net Operating Income
1)
Revenue per Occupied Unit
Three Months Ended
Three Months Ended
Three Months Ended
September 30,
September 30,
September 30,
Ownership Type
Comm.
Units
2011
2011
2011
Consolidated
4)
24
2,202
85.0%
11,325,260
$                  
218.87
$                                
Leased
4)
26
5,675
88.2%
18,201,096
166.29
Joint Ventures-US
92
7,439
83.4%
37,749,288
229.82
Joint Ventures-UK
27
2,265
88.1%
18,831,220
302.30
Managed
142
13,142
88.0%
68,919,318
217.77
Total Properties
311
30,723
86.7%
155,026,181
$                   
217.30
Footnotes:
1)  Net operating income from consolidated and leased communities is not reduced by allocated management fees as we eliminate management fees from consolidated and leased
communities.
2)  Stabilized properties are single properties or pools of properties owned or leased by us or owned by a joint venture where the single property or all of the communities in the pool have
been open and operating for more than 36 months as of September 30, 2011.  This differs from our "comparable community" definition which defines comparable at the individual
community level as having been open and operating as of January 1, 2009.  All managed communities are stabilized properties.
3)  Lease-up properties are single properties or pools of properties owned or leased by us or owned by a joint venture where the single property or any of the communities in the pool have
been open and operating for less than 36 months as of September 30, 2011.
4)  Net operating income is a non-GAAP measure.  Our nearest GAAP measure on our consolidated statement of operations is income/(loss) from operations. 
Net operating income excludes depreciation, amortization, lease expense, and impairment charges from these communities.  

Current Consolidated Communities
18
Total Properties
Unit Occupancy
Net Operating Income
1)
Outstanding
In
Maturity
Weighted Aver.
Three Months Ended
Three Months Ended
Debt
Default
Date
5)
Interest Rate
Ownership
State/
September 30,
September 30,
September 30,
September 30,
Community
Comm.
Units
Interest
Province
2011
2011
2011
2011
Connecticut Avenue
2)
1
100
100.0%
DC
95.0%
1,110,914
$                      
27,812,000
$   
-
$               
Jun 12
4.82%
AL US
2), 4)
15
1,091
100.0%
Various
88.8%
7,380,416
323,113,054
-
Jun 15
4.27%
Quebec
2), 6)
3
246
100.0%
QU
67.1%
646,758
45,332,643
45,332,643
Apr 11
4.75%
Cedar Parke
2)
1
371
0.0%
NJ
74.3%
570,251
21,769,862
1,364,862
Jul 29
0.70%
Other Consolidated
2)
1
137
50.0%
MD
97.8%
1,342,321
-
-
N/A
N/A
Other Consolidated
2), 3)
2
158
100.0%
Various
109.5%
(2,823)
-
-
N/A
N/A
Monterey
2)
1
99
100.0%
CA
61.4%
277,423
21,021,205
-
Jun 13
3.50%
Total Properties
24
2,202
85.0%
11,325,260
$                    
439,048,764
$ 
46,697,505
$ 
Footnotes:
1)  Net operating income from consolidated communities is not reduced by allocated management fees as we eliminate management fees from consolidated communities.
2)  Net operating income is a non-GAAP measure. Our nearest GAAP measure on our consolidated statement of operations is income/(loss) from operations. Net
operating income excludes depreciation, amortization, lease expense, and impairment charges from these communities.
3)  Property types are primarily condominium units and not typical Sunrise communities.
4)  Net operating income is consolidated from June 2, 2011 forward. The portfolio was a joint venture prior to June 2.
5) Maturity dates assume exercising extensions allowable under the loan documents.
6)Three communities in Canada that are wholly owned have been slow to lease up. The outstanding loan balance relating to these communities is non-recourse to us but
we have provided operating deficit guarantees to the lender. We are not currently funding under these operating deficit guarantees. The principal balance was due on
April 30, 2011. We are in discussions with the lender and are working toward implementing a revised business plan at the communities and obtaining a loan extension.
If we are unable to extend the mortgage, it may have an adverse impact on our financial condition, cash flows and results of operations.

Current Leased Communities
19
Lease Coverage-Cash
Leased Communities
Unit Occupancy
Net Operating Income
1)
Lease Expense
2)
Current
Three Months Ended
Three Months Ended
Three Months Ended
Lease Term
September 30,
September 30,
September 30,
Lessor
Comm.
Units
Country
Expiration
4)
2011
2011
2011
HRPT
3)
14
3,902
US
2013
88.5%
11,218,043
$                  
1.45
HCP
3)
2
1,055
US
2018
86.1%
4,050,177
0.95
LTC
3)
3
186
US
2018
85.9%
757,053
1.11
Missouri River Corp.
3)
2
133
US
2018
87.6%
330,691
0.70
Oakmont
3)
3
228
US
2012-2013
90.0%
1,109,862
1.57
Other
3)
2
171
US
2013
95.7%
735,271
1.78
Total Leased
26
5,675
88.2%
18,201,096
$                  
1.28
Footnotes:
1)  Net operating income from leased communities is not reduced by allocated management fees as we eliminate management fees from leased communities.
2)  Lease coverage is defined as net operating income divided by lease expense.
3)  Net operating income is a non-GAAP measure.  Our nearest GAAP measure on our consolidated statement of operations is income/(loss) from operations.  Net
operating income excludes depreciation, amortization, lease expense, and impairment charges from these communities.  
4)  Lease agreements may include possible lease extensions.  For HRPT, on December 29, 2011, we received 3rd party consent to the extension of the term of four
of the leases for an additional five-year term commencing January 1, 2014.  We notified the landlord that the other ten leases will terminate effective December 31,
2013.

Current Joint Venture Pools
20
Total Properties
Unit Occupancy
Net Operating Income of Venture
Outstanding
In
Maturity
Three Months Ended
Three Months Ended
Debt
Default
Date
7)
Interest Rate
Ownership
September 30,
September 30,
September 30,
September 30,
Venture Pool
1)
Comm.
Units
Country
Interest
4)
2011
2011
2011
Pool 1
5
434
UK
20.00%
91.8%
4,140,027
$                                      
131,408,773
-
May 13
4.64%
Pool 2
2
156
UK
9.81%
93.7%
1,941,777
58,594,873
-
Jan 15
5.13%
Pool 3
10)
15
1,243
UK
9.81%
85.7%
9,032,653
627,948,281
627,948,281
Jul 14
3.41%
Pool 4
3
237
UK
20.00%
91.9%
2,609,952
91,582,483
-
Nov 2012 -
Jun 2013
2.43%
Pool 5
11)
1
81
UK
17.30%
82.5%
294,773
29,512,286
29,512,286
Dec 12
2.13%
Pool 6
1
114
UK
17.30%
87.4%
812,038
36,900,708
-
Apr 13
3.88%
Pool 7
3)
29
2,082
US
40.00%
87.2%
11,058,629
434,940,000
-
Feb 14
6.76%
Pool 8
4
310
US
20.00%
91.5%
2,367,674
76,320,772
-
Apr 14
5.89%
Pool 9
12
872
US
25.00%
89.7%
5,251,058
183,888,093
-
Jan 14
6.00%
Pool 11
2
152
US
30.00%
93.5%
1,171,386
35,720,885
-
Mar 13
5.23%
Pool 13
13)
1
79
US
20.00%
95.4%
647,703
13,629,132
-
Mar 12
4.25%
Pool 14
13)
3
219
US
20.00%
89.0%
840,163
45,253,582
-
Dec 11
3.50%
Pool 15
2)
7
601
US
20%/50%
87.3%
3,345,271
100,500,435
-
Oct 11
6.25%
Pool 16
14)
8
621
US
20.00%
84.8%
3,093,631
110,350,000
-
Dec 11
6.50%
Pool 17
3
229
US
20.00%
82.0%
934,903
41,963,808
-
Dec 12
6.50%
Pool 18
4
348
US
20.00%
73.7%
1,400,932
76,093,014
-
Dec 2011 -
Jul 2012
3.25%
Pool 19
12)
3
295
US
20.00%
82.0%
771,684
65,813,119
65,813,119
Sep 10
5.00%
Pool 20
8)
6
598
US
30.00%
72.4%
2,558,059
104,549,267
-
Apr 14
4.58%
Pool 21
2
222
US
20.00%
70.3%
835,833
56,729,876
-
Oct 12
6.50%
Pool 22
15)
1
76
US
20.00%
88.7%
490,817
14,561,218
-
Dec 11
7.00%
Pool 23
5), 6)
1
323
US
30.00%
46.3%
293,461
29,987,018
29,987,018
Dec 11
5.72%
Pool 24
16)
6
412
US
10%-50%
89.7%
2,688,084
58,664,188
-
Dec 2011 -
Jan 2020
6.29%
Pool 25
0
-
US
30.00%
N/A
-
116,354,684
116,354,684
Sep 11
6.43%
Total Joint Ventures
9)
119
9,704
84.5%
56,580,508
$                                    
2,541,266,496
$ 
869,615,388
$  
2011
Weighted Aver.
Footnotes:
1) Legal names of the venture and partner are omitted due to possible confidentiality concerns in the governing documents. Venture pools represent pools of properties owned by a joint venture that were financed together as a distinct loan pool, other than pool 24 which
is an amalgamation of six single property joint ventures.
2) On October 12, 2011, we and our venture partner in a portfolio of seven communities transferred ownership of the portfolio to a new joint venture owned approximately 68 percent by CNL Income Partners, LP, a subsidiary of CNL Lifestyle Properties, Inc. and
approximately 32 percent by us. As part of our new venture the portfolio was recapitalized with a new loan in the amount of $120.0 million with a seven year term.
3) In January 2011, we increased our ownership percentage from 10% to 40% and the venture was recapitalized. Operating results include the results from 6 New York entities that are leased and operated by Sunrise but owned by the venture.
4) In certain situations, our share of cash distributions, profits or losses, are not equal to our ownership percentage.
5) Unit count includes 240 condo units associated with pool 25, however, NOI and occupancy only reflects the assisted living component of this venture.
6) Outstanding debt includes default interest that is accruing, but remains unpaid.
7) Maturity dates assume exercising extensions allowable under the loan documents.
8) On August 2, 2011, we and our venture partner in a portfolio of six communities transferred ownership of the portfolio to a new joint venture owned 70 percent by a wholly-owned subsidiary of CNL Lifestyle Properties (“CNL Sub”) and 30 percent by us. As part of
our new venture agreement with CNL Sub, from the start of year four to the end of year six, we will have a buyout option to purchase CNL Sub’s 70 percent interest in the venture for a 16% internal rate of return to CNL Sub. In addition, the new venture modified the
existing mortgage loan in the amount of $133.2 million to provide for, among other things, (i) pay down of the loan by approximately $28.7 million and (ii) an extension of the maturity date of the loan to April 2014 which may be extended by two additional years under
certain conditions. In connection with the transaction, we contributed $8.1 million and CNL Sub contributed $19.0 million to the new venture.
9) Sunrise's share of joint venture debt as of September 30, 2011 is $564 million.
10) The venture’s mortgage loan is in default at September 30, 2011 due to a violation of certain loan covenants. The mortgage loan balance was $627.9 million as of September 30, 2011. The loan is collateralized by 15 communities owned by the venture located in the
United Kingdom. The lender has rights which include foreclosure on the communities and/or termination of our management agreements. The venture is in discussions with the lender regarding the possibility of entering into a loan modification. During the nine months
ended September 30, 2011, we recognized $5.7 million in management fees from this venture. Our United Kingdom Management segment reported $2.1 million in income from operations for the nine months ended September 30, 2011. Our investment balance in this
venture was zero at September 30, 2011.
11) The debt default was cured in October, 2011.
12) The venture entered into a forbearance agreement with the lender in October, 2011. In connection with the forbearance agreement, Sunrise was released of its guarantee obligations.
13) In December 2011, we closed on a new 7 year loan with a fixed rate of 4.98%. As a result of the new loan, the existing ODA's were terminated.
14) The existing loan was extended for 90 days in December 2011.
15) The existing loan was extended through June in January 2012.
16) One of the communities is in default as of 12/31/2011 but a forbearance agreement is in place.

Current Management Contracts
21
Joint Venture Communities
Management Fees
2)
Average
Three Months Ended
Maturity
September 30,
Venture Pool
1)
Comm.
Units
Country
Date
2011
Pool 1
3)
5
434
UK
2028
795,025
$                   
Pool 2
2
156
UK
2037
347,096
Pool 3
15
1,243
UK
2037
1,957,879
Pool 4
3
237
UK
2024
332,270
Pool 5
1
81
UK
2039
163,180
Pool 6
1
114
UK
2039
260,957
Pool 7
7)
29
2,082
US
2028
1,435,623
Pool 8
4
310
US
2032
458,624
Pool 9
5)
12
872
US
2030
1,124,193
Pool 11
2
152
US
2038
157,543
Pool 13
1
79
US
2037
103,753
Pool 14
3
219
US
2037
220,830
Pool 15
7
601
US
2030
741,788
Pool 16
3)
8
621
US
2030
722,691
Pool 17
3)
3
229
US
2030
255,221
Pool 18
4
348
US
2037
386,138
Pool 19
6)
3
295
US
2037
265,270
Pool 20
6
598
US
2037
281,810
Pool 21
2
222
US
2038
200,114
Pool 22
1
76
US
2038
110,363
Pool 23 & Pool 25
9)
1
323
US
2034
-
Pool 24
6
412
US
Various
513,719
Total Joint Ventures
119
9,704
10,834,087
$              
Managed Communities
Management Fees
2)
Average
Three Months Ended
Owner
Comm.
Units
Country
Date
2011
Care Institute
2
209
US
2011
158,481
$                   
Cooperative
2
684
US
2012 and 2034
636,168
HCPI
8)
46
4,513
US
2028-2038
4,452,566
Inova
4
313
US
2013
371,372
Ventas
4)
79
6,507
US
2034-2037
5,866,111
Wedum Foundation
4
235
US
2013
233,966
Other
5
681
US
Various
571,333
Total Managed
142
13,142
12,289,997
$              
Total JV and Managed Communities
261
22,846
23,124,084
$              
Other/Terminated Management Fees
371,570
$                   
Total Management Fees
23,495,654
$              
Footnotes:
1) Legal names of the venture and partner are omitted due to possible confidentiality concerns in the governing
documents. Venture pools represent pools of properties owned by a joint venture that were financed together as
a distinct loan pool, other than pool 24 which is an amalgamation of six single property joint ventures.
2) The majority of our management contracts contain performance based termination tests with cure rights.
3)
Sunrise made a cure payment to these ventures related to community financial performance.
4)
Sunrise entered into amended and restated master and management agreements governing these
communities effective as of December 1, 2010.
5)
Contracts contain at-will termination provisions for a specified fee to Sunrise.
6)
Current fee partially subordinated due to lender related financial covenants.
7)
In January 2011, as part of the recapitalization of the venture our management contract was amended,
restated and extended to 2041.
8) The contracts relating to one portfolio of 14 properties contain at-will termination provisions for a specified
fee to Sunrise.
9) No management fees are associated with this venture as these fees are eliminated due to accounting for this
venture under the profit sharing method.
Maturity
September 30,

Summary Snapshot of Sunrise
22
(in
millions)
Sunrise Share
Sunrise Share
Management
Management
Net Operating Inc.
Net Operating Inc.
Sunrise Share
Lease Expense
Lease Expense
Contracts
Contracts
Annualized
Annualized
Outstanding Debt
Annualized
Annualized
Annualized
Annualized
3 Months Ended
9 Months Ended
As of
3 Months Ended
9 Months Ended
3 Months Ended
9 Months Ended
Sept. 30, 2011
Sept. 30, 2011
Sept. 30, 2011
Sept. 30, 2011
Sept. 30, 2011
Sept. 30, 2011
Sept. 30, 2011
Owned Communities
45.3
45.3
439.0
-
-
-
-
Leased Communities
72.8
79.6
57.0
56.1
-
-
Joint Venture Communities
52.7
51.0
563.8
-
-
-
-
Management Contracts
-
-
-
-
92.5
89.9
Other Consolidated Debt
-
-
116.6
-
-
-
-
Totals
170.8
175.9
1,119.5
57.0
56.1
92.5
89.9

Current Debt Restructuring Initiatives
23
Loans in Default as of September 30, 2011 
Consolidated Debt 
Montreal
Three communities in Canada that are wholly owned have been slow to lease up.  The outstanding loan balance relating to these communities is non-recourse to us
but we have provided operating deficit guarantees to the lender.  We are not currently funding under these operating deficit guarantees.  The principal balance of
$47.9 million was due on April 30, 2011.  We are in discussions with the lender and are working toward implementing a revised business plan at the communities and
obtaining a loan extension.  If we are unable to extend the mortgage, it may have an adverse impact on our financial condition, cash flows and results of operations.  
Joint Venture Debt 
Joint Venture Pool 3
The venture’s mortgage loan is in default at September 30, 2011 due to a violation of certain loan covenants.  The mortgage loan balance was $627.9 million as of
September 30, 2011.  The loan is collateralized by 15 communities owned by the venture located in the United Kingdom.  The lender has rights which include
foreclosure on the communities and/or termination of our management agreements.  The venture is in discussions with the lender regarding the possibility of entering
into a loan modification. During the nine months ended September 30, 2011, we recognized $5.7 million in management fees from this venture.  Our United Kingdom
Management segment reported $2.1 million in income from operations for the nine months ended September 30, 2011.  Our investment balance in this venture was
zero at September 30, 2011.  
Joint Venture Pool 5
The debt in default totaling $29.5 million was cured in October, 2011.
Joint Venture Pool 19
The venture entered into a forbearance agreement with the lender in October, 2011.  In connection with the forbearance agreement, Sunrise was released of its
guarantee obligations.
Senior Living Condominium Project
In 2006, we sold a majority interest in two separate ownership entities to two separate partners  related to a project consisting of a residential condominium
component and an assisted living component with each component owned by a different venture.  In connection with the equity sale and related financings, we
undertook certain obligations to support the operations of the project for an extended period of time.  We account for the condominium and assisted living ventures
under the profit-sharing method of accounting, and our liability carrying value at September 30, 2011 was $8.6 million for the two ventures.  We recorded losses of
$2.1 million and $5.7 million for the three months ended September 30, 2011 and 2010, respectively, and $6.9 million and $10.5 million for the nine months ended
September 30, 2011 and 2010, respectively. 
We are obligated to the lender on the assisted living venture to fund future operating shortfalls.  We are also obligated to our partner on the condominium venture to
fund operating shortfalls as a priority loan to the entity.  We have funded $7.8 million under the guarantees through September 30, 2011, of which approximately $0.9
million was funded in 2011.  In addition, we are required to fund sales and marketing costs associated with the sale of the condominiums.  
The depressed condominium real estate market in the Washington D.C. area  has resulted in lower sales and pricing than forecasted and we believe the partners have
no remaining equity in the condominium project.  Accordingly, we have informed our partner that we do not intend to fund future operating shortfalls.   
As of September 30, 2011, loans of $116.4 million for the residential condominium venture and the loan of $30.0 million for the assisted living venture are both in
default.  We have accrued $2.2 million in default interest relating to these loans.  We are in discussions with the lenders regarding these defaults.  

Current Asset Sale Initiatives
24
Asset Sales
Liquidating Trust Asset Sales
In the first nine months of 2011, we sold three wholly owned operating communities and three land parcels which were part of the liquidating trust for
approximately $12.8 million. We recognized a gain of approximately $1.7 million, $1.5 million of which is included in discontinued operations.  Proceeds
of $11.3 million were distributed to the electing lenders of the liquidating trust.  To date, we have sold 10 properties in the liquidating trust for gross
proceeds of approximately $26.7 million.  We have one closed community and nine land parcels remaining to sell in the liquidating trust which are
reflected in our consolidated balance sheets in “Assets held in the liquidating trust”.  To the extent we are unable to sell all of these assets at their
estimated value by October 2012, we may be required to fund the minimum payment under the guarantee which was $26.3 million as of September 30,
2011.  Based on anticipated sale volume, we believe that we may be required to fund approximately $5.0 million under the guarantee.

Reconciliation of non-GAAP Measure
25
The following table reconciles net operating income from consolidated communities to loss from operations.
(in thousands)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2011
2010
2011
2010
Consolidated Community NOI
11,325
$    
11,181
$   
33,992
$    
32,884
$   
Leased Community NOI
18,201
20,515
59,717
59,453
Total Consolidated NOI
29,526
31,696
93,709
92,337
Less: AL US NOI (during period the venture was not consolidated)
-
(7,923)
(13,681)
(23,658)
Plus: NOI from Consolidated New York communities leased from a venture
(NOI is reflected in Joint Venture loan pool analysis)
3,903
-
12,193
-
Adjusted Total Consolidated NOI
33,429
23,773
92,221
68,679
Less: Consolidated Community Lease Expense (includes $4.3 million and $12.3
million, respectively, for the three months ended and nine months ended of lease
expense from consolidated New York communities leased from a venture)
19,476
15,384
57,281
45,023
Less: Depreciation and Amortization
10,728
11,997
26,752
28,879
Less: Impairment of long-lived assets
2,899
1,014
8,254
4,373
326
$         
(4,622)
$   
(66)
$          
(9,596)
$   
Plus: Other Sunrise Revenue
Management fees
23,496
28,663
72,110
81,433
Buyout fees
3,044
40,000
3,044
53,471
Ancillary fees
7,641
11,113
22,751
32,535
Professional fees from development, marketing and other
553
847
1,398
3,539
Reimbursed costs incurred on behalf of managed communities
179,038
212,386
543,168
648,479
Total Other Revenue
213,772
293,009
642,471
819,457
Less: Other Sunrise Expense
Ancillary expenses
7,127
10,558
21,099
30,504
General and administrative
28,263
31,235
88,216
92,850
Carrying costs of liquidating trust assets
658
551
1,700
1,790
Accounting Restatement, Special Independent Committee inquiry, SEC
investigation and stockholder litigation
-
314
-
673
Restructuring costs
-
1,061
-
10,885
Allowance for uncollectible receivables from owners
416
1,344
1,362
2,814
Loss (gain) on financial guarantees and other contracts
-
167
(12)
477
Costs incurred on behalf of managed communities
180,275
216,713
545,953
651,854
Misc. Expense for Non-Operating Communities
(319)
190
(720)
689
Total Other Expense
216,420
262,133
657,598
792,536
(Loss) income from operations
(2,322)
$     
26,254
$   
(15,193)
$   
17,325
$   

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