DENVER, Nov. 4 /PRNewswire-FirstCall/ -- DCT Industrial Trust Inc. (NYSE: DCT), a leading industrial real estate investment trust, today announced financial results for the quarter and nine months ended September 30, 2008.

Funds from operations (FFO) attributable to common stockholders totaled $30.8 million for the third quarter of 2008 and $93.4 million for the nine months ended September 30, 2008. FFO was $0.15 per diluted share for the third quarter of 2008 and $0.45 per diluted share for the nine months ended September 30, 2008, compared with $0.15 per diluted share and $0.51 per diluted share reported for the same periods in 2007.

Net income attributable to common stockholders for the third quarter of 2008 was $6.2 million, or $0.04 per diluted share, compared with $11.2 million, or $0.07 per diluted share, reported for the third quarter of 2007. Net income for the nine months ended September 30, 2008 was $22.1 million, or $0.13 per diluted share, versus net income of $34.4 million, or $0.20 per diluted share, for the nine months ended September 30, 2007.

Net income for the first nine months of 2008 includes approximately $22.0 million of gains on the contribution or sale of real estate, of which $0.3 million was recognized in FFO. Net income for the first nine months of 2007 included $40.6 million of gains on the contribution or sale of real estate, of which $12.7 million was recognized in FFO.

DCT Industrial's balance sheet remains strong, with consolidated debt to book value of total assets (before depreciation and amortization) of 37.5% as of September 30, 2008, compared to 37.4% as of December 31, 2007. The Company's fixed charge coverage for the third quarter of 2008 was 2.8 times.

'We have been very focused on maintaining a strong balance sheet and financial flexibility for quite some time,' commented Phil Hawkins, Chief Executive Officer of DCT Industrial Trust. 'Our strategy has included substantially limiting capital deployment and selling non-strategic assets. As a result, we have sold 14 assets for $120 million and reduced our net investment in real estate during the first nine months of 2008, while maintaining solid leverage relative to book value.'

Dividend

DCT Industrial Trust's Board of Directors has declared a $0.08 per share quarterly cash dividend, payable on January 16, 2009, to stockholders of record as of December 29, 2008.

'In response to the ongoing turmoil in the economy and the credit markets, we have decided to take the additional step of reducing our annualized dividend from $0.64 to $0.32 per share,' said Mr. Hawkins. 'This is a decision we don't take lightly, but one that we consider prudent in today's environment. Our new dividend level allows us conserve capital, positions us to meet the challenges of the current economy, and take advantage of opportunities that we expect will present themselves. Companies with strong balance sheets, patience and discipline will be rewarded over time and we believe DCT is positioned accordingly.'

Operating Portfolio

As of September 30, 2008, the Company owned 372 consolidated operating properties, or 51.9 million square feet. Net operating income was $45.8 million in the third quarter of 2008, compared with $46.1 million reported for the third quarter of 2007. DCT's consolidated operating portfolio occupancy was 91.9% as of September 30, 2008, compared with 91.8% as of June 30, 2008, and 92.4% as of September 30, 2007. Including an additional 14.5 million square feet of operating properties held in joint ventures, occupancy as of September 30, 2008 was 93.2%, flat when compared to June 30, 2008, and down slightly from 93.6% reported a year ago.

Same store net operating income was flat on a cash basis and declined 2.3% on a GAAP basis in the third quarter of 2008, when compared to the same period last year. Occupancy of same store properties was 92.0% as of September 30, 2008, compared with 92.6% as of September 30, 2007 and 92.9% as of June 30, 2008.

Leasing activity remained strong with 3.5 million square feet of leases signed during the third quarter, of which 1.4 million square feet related to leases expiring in 2009 or 2010, versus 2.5 million square feet of leases signed in the second quarter of 2008. Tenant retention was 78.6% for the third quarter of 2008 and 75.6% year to date. Realized rent growth on signed leases for which there was a prior tenant averaged 8.9% on a GAAP basis and 2.8% on a cash basis in the third quarter of 2008.

Institutional Capital Management

DCT Industrial's institutional capital management business had assets under management of $770.6 million as of September 30, 2008, representing an increase of $84.4 million year to date. Capital management and other fee revenue totaled $0.8 million in the third quarter of 2008, versus $0.4 million in the third quarter of 2007.

During the third quarter of 2008, five bulk distribution buildings in Louisville, KY totaling 900,000 square feet were purchased with one of DCT Industrial's joint venture partners, Dividend Capital Total Realty Trust.

Capital Deployment Activity

DCT Industrial Trust disposed of nine assets totaling 0.9 million square feet for a combined sales price of approximately $42.5 million during the third quarter of 2008. Year to date the Company has sold 14 assets totaling 2.1 million square feet for a total sales price of $119.8 million. In the first nine months of 2008, DCT Industrial has only acquired one 63,000 square foot building for approximately $4.0 million in order to accommodate the expansion needs of a customer.

As of September 30, 2008, DCT Industrial Trust had 8.3 million square feet under development, including 1.9 million square feet in a 50-50 joint venture.

Financing Activity

Following the end of the third quarter of 2008, the Company drew the remaining $200 million of its $300 million unsecured term loan, using the majority of the funds to pay down the balance on its credit facility. Following this, the $300 million revolving credit facility had $275 million of unused capacity. Including extension options, DCT Industrial does not have any significant debt maturities until December 2010 when its credit facility will mature.

Guidance

DCT Industrial has narrowed its 2008 guidance range to FFO per diluted share of $0.60 to $0.62 and net income of $0.12 to $0.14 per diluted share. The Company's initial guidance for 2009 FFO is $0.50 to $0.58 per diluted share and net income of $0.00 to $0.06 per diluted share, which includes gains on sale of undepreciated real estate ranging from $0.00 to $0.04 per diluted share.

Conference Call Information

DCT Industrial Trust will host a conference call to discuss third quarter 2008 results and its recent business activities on Wednesday, November 5, 2008 at 12:00 PM Eastern. Stockholders and interested parties may listen to a live broadcast of the conference call by dialing (800) 860-2442 or (412) 858-4600. A telephone replay will be available for one week following the call by dialing (877) 344-7529 or (412) 317-0088 and entering the passcode 423494. A live webcast and replay of the conference call will be available in the investor relations section of DCT's website at http://www.dctindustrial.com.

Supplemental information will be available in the Investor Relations section of the Company's website at http://www.dctindustrial.com or by e-mail request at investorrelations@dctindustrial.com. Interested parties may also obtain supplemental information from the SEC's website at http://www.sec.gov.

About DCT Industrial Trust

DCT Industrial Trust is a leading industrial real estate company that owns, operates and develops high-quality bulk distribution and light industrial properties in high-volume distribution markets in the U.S. and Mexico. As of September 30, 2008, the Company owned, managed or had under development 75.8 million square feet of assets leased to approximately 850 customers, including 14.6 million square feet managed on behalf of three institutional joint venture partners. Additional information is available at http://www.dctindustrial.com.

                  DCT INDUSTRIAL TRUST INC.