Core Insights - Piedmont Office Realty Trust, Inc. has completed over 575,000 square feet of leasing in Q2 2024, with approximately 60% related to new tenants, bringing year-to-date leasing volume to about 1.1 million square feet [1][3] - The largest lease in Q2 2024 was for the relocation of Travel + Leisure Co's headquarters to Piedmont's property in Orlando [1] - The company has a backlog of future cash revenue related to leases yet to commence or still in abatement, estimated at approximately $52 million annually [3] Company Overview - Piedmont Office Realty Trust, Inc. is a self-managed real estate investment trust (REIT) focused on high-quality Class A office properties primarily in the Sunbelt region, with a portfolio valued at approximately $5 billion and comprising around 16 million square feet [4] - The company is investment-grade rated by S&P Global Ratings (BBB-) and Moody's (Baa3) and has been recognized as a 2024 ENERGY STAR Partner of the Year – Sustained Excellence [4]

During the first quarter of 2024, Piedmont completed approximately 500,000 square feet of leasing, including approximately 328,000 square feet of new tenant leasing. As of Mar 31, 2024, it had around 1.3 million square feet of executed leases for vacant space yet to commence or under rental abatement. Its healthy leasing activities are expected to boost the occupancy level at the company's property and fuel growth in rental income. Per a Cushman & Wakefield report, the high interest rate environment, hybrid ...

Core Insights - Piedmont Office Realty Trust has secured a significant lease agreement with Travel + Leisure Co for its new corporate headquarters in downtown Orlando, marking the largest lease in the area since 2019 [1][2] Company Overview - Piedmont Office Realty Trust, Inc. is a real estate investment trust (REIT) focused on owning, managing, and developing Class A office properties, primarily in the Sunbelt region, with a portfolio valued at approximately $5 billion and encompassing around 16 million square feet [3] - The company is recognized for its commitment to sustainability, being named a 2024 ENERGY STAR Partner of the Year – Sustained Excellence [3] Lease Agreement Details - Travel + Leisure has signed a lease for the entire 5-story building at 501 W. Church, which spans approximately 182,000 square feet, and plans to employ around 900 individuals at this location [1] - The lease extends through 2040, and Piedmont intends to renovate and rebrand the building to enhance the office experience for Travel + Leisure employees, including modern amenities such as a fitness center and conference center [1] Economic Impact - The collaboration between Piedmont and local authorities, including Mayor Dyer's administration and the Orlando Economic Partnership, has been pivotal in attracting this major lease, contributing to the economic vibrancy of downtown Orlando [2]

Piedmont Office Realty Trust, Inc. (NYSE:PDM) Q1 2024 Earnings Conference Call May 1, 2024 9:00 AM ET Company Participants Laura Moon - Chief Accounting Officer Brent Smith - President and Chief Executive Officer George Wells - Chief Operating Officer Chris Kollme - Executive Vice President, Investments Bobby Bowers - Chief Financial Officer Conference Call Participants Anthony Paolone - JPMorgan Nick Thillman - Baird Dylan Burzinski - Green Street Operator Good day and welcome to the Piedmont Office Realty ...

EXHIBIT 99.2 Piedmont Office Realty Trust, Inc. Quarterly Supplemental Information Index | | Page | | Page | | --- | --- | --- | --- | | Introduction | | | | | Corporate Data | 3 | | | | Investor Information | 4 | Supporting Information | | | Earnings Release | 5 | Definitions | 32 | | Key Performance Indicators | 8 | Research Coverage | 33 | | Financials | | Non-GAAP Reconciliations | 34 | | Balance Sheets | 9 | In-Service Portfolio Detail | 36 | | Income Statements | 10 | Major Leases Not Yet Commenced an ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________________________ _______________________________________________________________________________________ FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT of 1934 For the Quarterly Period Ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT of 1934 For the Transition Period From ...

Part I [Business](index=7&type=section&id=Item%201.%20Business) Piedmont is a REIT focused on owning and operating Class A office properties, primarily in U.S. Sunbelt markets, with 51 properties totaling **16.6 million** square feet and **87.1%** leased as of December 31, 2023 - Piedmont is a REIT focused on owning and operating high-quality, **Class A** office properties primarily in major U.S. **Sunbelt markets**[27](index=27&type=chunk) Portfolio Overview as of December 31, 2023 | Metric | Value | | :--- | :--- | | In-service office properties | 51 | | Total square feet | ~16.6 million | | Leased Percentage | 87.1% | | Sunbelt Market Concentration (by ALR) | ~70% | | Largest Tenant Concentration (by ALR) | < 5% | - The company's primary strategies include redeveloping properties to enhance amenities, proactive asset management to maximize occupancy, recycling capital by selling non-core assets to fund new investments, and maintaining a conservative leverage strategy[31](index=31&type=chunk)[32](index=32&type=chunk)[36](index=36&type=chunk)[37](index=37&type=chunk) - As of December 31, 2023, the company had **150 employees** and emphasizes diversity, equity, and inclusion, including a scholarship program with Historically Black Colleges and Universities[38](index=38&type=chunk)[40](index=40&type=chunk) [Risk Factors](index=11&type=section&id=Item%201A.%20Risk%20Factors) The company faces material risks from economic changes, competition, tenant defaults, cybersecurity, anti-takeover provisions, REIT qualification, and debt financing - **Business & Operations Risks**: The company faces risks from economic and technological changes impacting office space demand (e.g., work-from-home), intense competition, tenant defaults, development and construction delays, cybersecurity incidents, and the physical and transitional effects of climate change[53](index=53&type=chunk)[57](index=57&type=chunk)[61](index=61&type=chunk)[81](index=81&type=chunk)[103](index=103&type=chunk) - **Organization & Structure Risks**: Anti-takeover provisions in organizational documents, charter limitations on stock ownership (**9.8%**), and the board's ability to take actions without stockholder approval may discourage changes in control[109](index=109&type=chunk)[111](index=111&type=chunk)[113](index=113&type=chunk) - **Tax Risks**: A primary risk is the potential failure to qualify as a REIT, which would result in corporate-level taxation and reduce distributable earnings, alongside exposure to changes in tax laws[124](index=124&type=chunk)[128](index=128&type=chunk) - **Debt Financing Risks**: The company's indebtedness of approximately **$2.1 billion** as of year-end 2023 exposes it to risks from rising interest rates, which could increase debt service costs and make refinancing difficult, with restrictive covenants also limiting operational flexibility[137](index=137&type=chunk)[140](index=140&type=chunk)[142](index=142&type=chunk) [Unresolved Staff Comments](index=28&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) There were no unresolved SEC staff comments as of December 31, 2023 - There were no unresolved SEC staff comments as of December 31, 2023[161](index=161&type=chunk) [Cybersecurity](index=28&type=section&id=Item%201C.%20Cybersecurity) Piedmont manages cybersecurity risk through a formal program involving regular assessments, an incident response plan, third-party support, and board oversight - The company employs an enterprise risk management program that includes a specific cybersecurity risk assessment every eighteen months and an annual review of its Incident Response Plan[162](index=162&type=chunk) - A standing management committee, including the CFO and a third-party managed security service provider (MSSP), oversees cybersecurity strategy, risk assessments, and vulnerability testing[162](index=162&type=chunk)[163](index=163&type=chunk) - The Audit Committee of the board of directors provides oversight for cybersecurity risk, receiving quarterly updates from management, with the committee chair holding a Certificate in Cybersecurity Oversight from the NACD[170](index=170&type=chunk) - While no material cybersecurity incidents have occurred, the company maintains a proactive approach including employee training, a business continuity plan, and an information security risk insurance policy[168](index=168&type=chunk) [Properties](index=30&type=section&id=Item%202.%20Properties) Piedmont's portfolio as of December 31, 2023, included 51 office properties, **87.1%** leased, with **70%** of its **$575.5 million** ALR from Sunbelt markets Geographic Diversification of In-Service Portfolio (as of Dec 31, 2023) | Location | Annualized Lease Revenue (in thousands) | % of Total ALR | Percent Leased (%) | | :--- | :--- | :--- | :--- | | Atlanta | $163,389 | 28.4% | 91.1% | | Dallas | $112,753 | 19.6% | 80.4% | | Northern Virginia/Washington, D.C. | $66,190 | 11.5% | 77.9% | | Minneapolis | $65,381 | 11.4% | 89.6% | | Orlando | $59,582 | 10.4% | 95.0% | | New York | $49,142 | 8.5% | 87.3% | | Boston | $39,301 | 6.8% | 85.0% | | **Total** | **$575,467** | **100.0%** | **87.1%** | Lease Expiration Schedule (as of Dec 31, 2023) | Year of Lease Expiration | Percentage of Annualized Lease Revenue (%) | | :--- | :--- | | 2024 | 7.4% | | 2025 | 12.1% | | 2026 | 11.2% | | 2027 | 9.3% | | 2028 | 11.8% | | Thereafter | 48.2% | - Annualized Lease Revenue (ALR) increased to **$575.5 million** as of December 31, 2023, from **$555.3 million** as of December 31, 2022[175](index=175&type=chunk) [Legal Proceedings](index=31&type=section&id=Item%203.%20Legal%20Proceedings) The company is not subject to any material pending legal proceedings, with routine litigation expected to be covered by insurance - The company is not subject to any material pending legal proceedings and expects routine litigation to be covered by insurance without material adverse effect[180](index=180&type=chunk) [Mine Safety Disclosures](index=31&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[181](index=181&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=32&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Piedmont's common stock (PDM) trades on NYSE; the company reduced its quarterly dividend in 2023, made no share repurchases, and its stock underperformed key indices - The quarterly dividend was reduced from **$0.21** per share for Q1 and Q2 2023 to **$0.125** per share for Q3 and Q4 2023[186](index=186&type=chunk) - No shares were repurchased during 2023; the board-authorized stock repurchase program, with **$150.5 million** remaining capacity, expired in February 2024 with no additional purchases[187](index=187&type=chunk)[194](index=194&type=chunk) Cumulative Total Return Performance (2018-2023) | Index | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Piedmont Office Realty Trust, Inc. | $100.00 | $135.92 | $104.01 | $123.38 | $65.70 | $56.04 | | FTSE NAREIT Equity Office | $100.00 | $131.42 | $107.19 | $130.77 | $81.58 | $83.23 | | FTSE NAREIT Equity REITs | $100.00 | $126.00 | $115.92 | $166.04 | $125.58 | $142.83 | | S&P 500 | $100.00 | $131.49 | $155.68 | $200.37 | $164.08 | $207.21 | [Reserved]](index=34&type=section&id=Item%206.%20%5BReserved%5D) This item is reserved [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=35&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Piedmont reported a **$48.4 million** net loss in 2023, primarily due to reduced real estate gains and higher interest expense, while maintaining sufficient liquidity - Primary sources of liquidity are cash on hand, cash flow from operations, proceeds from dispositions, and borrowings under its **$600 million** unsecured line of credit, with the company believing it has sufficient liquidity for the foreseeable future[198](index=198&type=chunk) Capital Expenditures (in thousands) | Category | Dec 31, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | Redevelopment/renovations | $57,630 | $59,435 | | Other capital expenditures (building/tenant improvements) | $100,561 | $61,924 | | **Total capital expenditures** | **$158,191** | **$121,359** | Results of Operations Summary (2023 vs 2022, in millions) | Metric | 2023 | 2022 | Variance | | :--- | :--- | :--- | :--- | | Total Revenues | $577.7 | $563.8 | $13.9 | | Interest Expense | ($101.3) | ($65.7) | ($35.6) | | Gain on sale of real estate assets | $1.9 | $151.7 | ($149.8) | | **Net Income/(Loss)** | **($48.4)** | **$146.8** | **($195.2)** | Funds From Operations (FFO) Reconciliation (per diluted share) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | GAAP net income/(loss) per share | ($0.39) | $1.19 | | NAREIT FFO per share | $1.73 | $1.98 | | **Core FFO per share** | **$1.74** | **$2.00** | - Same Store NOI for 2023 increased **2.2%** on a cash basis but decreased **1.0%** on an accrual basis compared to 2022, with the cash basis increase driven by rental rate roll-ups and new lease commencements[249](index=249&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=48&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk is interest rate fluctuations on its **$2.1 billion** variable-rate debt, largely fixed or hedged, with a **1.0%** rate increase impacting annual interest expense by **$3.7 million** - The primary market risk is interest rate fluctuations on variable-rate debt, with the company aiming to limit this impact through a low-to-moderate level of borrowing and using fixed-rate debt and derivatives[263](index=263&type=chunk)[264](index=264&type=chunk) - As of December 31, 2023, total consolidated debt was approximately **$2.1 billion**, with approximately **$1.7 billion** subject to fixed or effectively-fixed interest rates[137](index=137&type=chunk)[267](index=267&type=chunk) - A **1.0%** increase in variable interest rates on outstanding borrowings as of December 31, 2023, would increase annual interest expense by approximately **$3.7 million**[268](index=268&type=chunk) [Financial Statements and Supplementary Data](index=49&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) The company's audited consolidated financial statements and supplementary data are presented starting on page F-1 of the report - The financial statements and supplementary data are set forth beginning on page F-1 of the report[269](index=269&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=49&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) There were no disagreements with the independent registered public accountants regarding accounting and financial disclosure in 2023 or 2022 - There were no disagreements with accountants during the years ended December 31, 2023 or 2022[270](index=270&type=chunk) [Controls and Procedures](index=49&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that disclosure controls and internal control over financial reporting were effective as of December 31, 2023, with an unqualified attestation report - Management concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by the report[271](index=271&type=chunk) - Based on an assessment using the 2013 COSO framework, management believes that the company's internal control over financial reporting was effective as of December 31, 2023[274](index=274&type=chunk) - Piedmont's independent registered public accounting firm, Deloitte & Touche LLP, issued an unqualified opinion on the effectiveness of the company's internal control over financial reporting[275](index=275&type=chunk)[280](index=280&type=chunk) [Other Information](index=52&type=section&id=Item%209B.%20Other%20Information) No director or officer adopted or terminated any Rule 10b5-1 trading plan or similar arrangement for company securities - No director or officer has adopted or terminated a Rule 10b5-1 trading plan or other similar trading arrangement[287](index=287&type=chunk) [Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](index=52&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20that%20Prevent%20Inspections) This item is not applicable to the company - None[288](index=288&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=53&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information for this item is incorporated by reference from the company's definitive proxy statement for the 2024 Annual Meeting of Stockholders - Information is incorporated by reference from the definitive proxy statement for the 2024 Annual Meeting of Stockholders[291](index=291&type=chunk) [Executive Compensation](index=53&type=section&id=Item%2011.%20Executive%20Compensation) Information for this item is incorporated by reference from the company's definitive proxy statement for the 2024 Annual Meeting of Stockholders - Information is incorporated by reference from the definitive proxy statement for the 2024 Annual Meeting of Stockholders[293](index=293&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=53&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information for this item is incorporated by reference from the company's definitive proxy statement for the 2024 Annual Meeting of Stockholders - Information is incorporated by reference from the definitive proxy statement for the 2024 Annual Meeting of Stockholders[294](index=294&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=53&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information for this item is incorporated by reference from the company's definitive proxy statement for the 2024 Annual Meeting of Stockholders - Information is incorporated by reference from the definitive proxy statement for the 2024 Annual Meeting of Stockholders[295](index=295&type=chunk) [Principal Accountant Fees and Services](index=53&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information for this item is incorporated by reference from the company's definitive proxy statement for the 2024 Annual Meeting of Stockholders - Information is incorporated by reference from the definitive proxy statement for the 2024 Annual Meeting of Stockholders[296](index=296&type=chunk) Part IV [Exhibit and Financial Statement Schedules](index=54&type=section&id=Item%2015.%20Exhibit%20and%20Financial%20Statement%20Schedules) This section lists the financial statements and exhibits filed with the report, with consolidated financial statements beginning on page F-5 - This section lists the financial statements and exhibits filed with the report; the consolidated financial statements begin on page F-5[298](index=298&type=chunk) [Form 10-K Summary](index=59&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is not applicable - None[306](index=306&type=chunk)

Financial Data and Key Metrics Changes - AFFO generated during Q4 2023 was approximately $32 million, or $128 million on an annualized basis, providing over 2x coverage of the current dividend [25] - Core FFO per diluted share for Q4 2023 was $0.41, down from $0.50 per diluted share for Q4 2022, reflecting increased interest expense and the impact of property net operating income from the sale of the Cambridge Massachusetts portfolio [29] - Cash same-store NOI increased by 2.2% in 2023, an improvement from a 1.9% increase in 2022 [79] Business Line Data and Key Metrics Changes - New tenant leasing totaled 830,000 square feet in 2023, the largest annual amount in the last five years, achieving a year-end portfolio goal of 87% leased [71] - Tenant retention rates spiked to 84%, influenced by the U.S. Bank renewal, and remained consistently high at 70% over the past four quarters [93] - Leasing capital spent for the quarter was approximately $5.40 per square foot per lease year, almost 10% less than recent averages [93] Market Data and Key Metrics Changes - The overall lease percentage increased by 40 basis points to end the quarter at 87.1%, slightly above previously announced guidance [92] - Most new tenant activity, approximately 90%, occurred in the Sunbelt portfolio, where the majority of vacancies reside [92] - The Atlanta portfolio achieved over 91% lease with an absorption rate of 640 basis points over the last 12 months [90] Company Strategy and Development Direction - The company is focused on creating distinct environments in well-located properties, capitalizing on the demand for high-quality office spaces [18] - The operational strategy aims to capture market share from small to medium-sized businesses and larger corporate tenants returning to the market [85] - The company plans to continue addressing debt maturities and is optimistic about potential opportunities in the second half of 2024 and into 2025 [23][101] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the 2024 leasing prospects, citing a healthy pipeline and modest absorption trends [58][102] - The company anticipates a trough in earnings and vacancy in mid-2024 due to increased interest expenses and known tenant vacates [53] - Despite challenges, management believes the company is well-positioned with a strong balance sheet and limited near-term debt maturities [43][87] Other Important Information - The company has a backlog of 1.1 million square feet of leases yet to commence, equating to approximately $35 million in future annualized cash rents [80] - The company refinanced over $1 billion worth of debt, significantly improving liquidity and preserving a largely unencumbered pool of assets [82] - Same-store NOI on both cash and accrual basis is estimated to be positive in the low single-digit range for 2024 [46] Q&A Session Summary Question: Clarification on occupancy and guidance - Management confirmed that the 87% to 88% lease rate guidance includes the two assets being taken out of service for redevelopment [54][57] Question: Understanding of capital sources and uses - Management indicated that any dispositions would primarily be used to pay down debt, with expectations of selling around $100 million to $200 million over the next 18 to 24 months [130][131] Question: Leasing year-to-date and pipeline details - Approximately 50% of the 260,000 square feet executed year-to-date is new leasing, with the other 50% being renewals [109]

Piedmont Office Realty Trust, Inc. (NYSE:PDM) Q3 2023 Earnings Conference Call October 31, 2023 9:00 AM ET Company Participants Laura Moon - Senior Vice President & Chief Accounting Officer Brent Smith - President & Chief Executive Officer George Wells - Chief Operating Officer Chris Kollme - Executive Vice President, Investments Bobby Bowers - Chief Financial Officer Conference Call Participants Ray Zhang - JPMorgan Nicholas Thillman - Baird Dylan Burzinski - Green Street Operator Greetings, and welcome t ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________________________ _______________________________________________________________________________________ FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT of 1934 For the Quarterly Period Ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT of 1934 For the Transition Period ...