Exhibit 99.2
Item 6.  Selected Financial Data.

Note: The information contained in this Item has been updated to reflect America First Multifamily Investors, LP change in the classification of Bent Tree and Fairmont Oaks, Consolidated variable interest entities ("VIEs"), as discontinued operations. The resulting changes are discussed further in the Notes to Financial Statements in Exhibit 99.4 as follows:
 
•
 
Note 2, Summary of Significant Accounting Policies: Disclosure requirements about the discontinued operations, which was effective in the second quarter of 2015. The disclosure requirements have been applied retrospectively to all periods presented.
 
•
 
Note 4, Variable Interest Entities: Reclassifications were made to the variable interest entities reporting two of the Consolidated VIEs as discontinued operations for all periods presented.
 
•
 
Note 8, Real Estate Assets: Reclassifications were made to reclassify the Consolidated VIEs net assets to discontinued operations retrospectively for all periods presented.
 
•
 
Note 10, Discontinued Operations: Reclassifications were made to reclassify the Consolidated VIEs net assets to discontinued operations retrospectively for all periods presented.
 
•
 
Note 20, Segments: Revenue, interest expense, depreciation, net income from continuing operations, net income, and total assets have been revised to reflect the change in the Consolidated VIEs due to the discontinued operations of two Consolidated VIEs recast for all periods presented.
 
•
 
Note 21, Summary of Unaudited Quarterly Results of Operations: Reclassifications were made to reclassify the revenues and income from continuing operations to discontinued operations for all periods presented.

For significant developments that have occurred subsequent to the filing of the 2014 Annual Report on Form 10-K (“2014 Form 10-K”), refer to America First Multifamily Investors, LP Quarterly Report on Form 10-Q for the quarter ended September 30, 2015.

1



Set forth below is selected financial data for the Company as of and for the years ended December 31, 2010 through 2014. The information should be read in conjunction with the Company’s consolidated financial statements and notes thereto filed in response to Item 8 of this report.  Please refer to the discussions in Exhibit 99.1, Item 1, Form 8-K and Exhibit 99.3, Item 7, Form 8-K regarding the implementation of guidance on consolidations and its effects on the presentation of financial data in this recast Exhibit 99.4, Item 8, Form 8-K:

 
For the
Year Ended
December 31, 2014
 
For the
Year Ended
December 31, 2013
 
For the
Year Ended
December 31, 2012
 
For the
Year Ended
December 31, 2011
 
For the
Year Ended
December 31, 2010
 
 
 
 
 
 
 
 
 
 
Property revenues
$
14,250,572

 
$
13,115,858

 
$
9,686,414

 
$
8,077,406

 
$
6,205,545

Real estate operating expenses
(7,796,761
)
 
(7,622,182
)
 
(6,022,923
)
 
(4,947,845
)
 
(4,247,002
)
Depreciation and amortization expense
(6,081,500
)
 
(5,823,477
)
 
(4,056,612
)
 
(3,066,582
)
 
(2,741,470
)
Investment income
26,606,234

 
22,651,622

 
11,078,467

 
9,187,291

 
6,881,314

Contingent interest income
40,000

 
6,497,160

 
—

 
309,990

 
—

Other interest income
856,217

 
1,772,338

 
150,882

 
485,679

 
455,622

Gain on mortgage revenue bonds - sale, redemption and retirement
3,701,772

 
—

 
680,444

 
445,257

 
—

Other income
188,000

 
250,000

 
555,328

 
294,328

 
—

Provision for loss on receivables
—

 
(241,698
)
 
(452,700
)
 
(952,700
)
 


Provision for loan loss
(75,000
)
 
(168,000
)
 
—

 
(4,242,571
)
 
(562,385
)
Realized loss on taxable property loan
—

 
(4,557,741
)
 
—

 
—

 
—

Gain on early extinguishment of debt
—

 
—

 
—

 
—

 
435,395

Asset impairment charge - Weatherford
—

 
—

 
—

 
—

 
(2,528,852
)
Interest expense
(11,165,911
)
 
(6,990,844
)
 
(5,275,008
)
 
(5,178,374
)
 
(1,608,879
)
General and administrative expenses
(5,547,208
)
 
(4,237,245
)
 
(3,512,233
)
 
(2,764,970
)
 
(2,383,784
)
Income (loss) from continuing operations
14,976,415

 
14,645,791

 
2,832,059

 
(2,353,091
)
 
(94,496
)
Income (loss) from discontinued operations, (including gain on sale of MF Properties of $3,177,183 and $1,406,608 in 2013 and 2012, respectively)
52,773

 
3,331,051

 
2,163,979

 
679,928

 
(509,695
)
Net income (loss)
15,029,188

 
17,976,842

 
4,996,038

 
(1,673,163
)
 
(604,191
)
Less: net (loss) income attributable to noncontrolling interest
(4,673
)
 
261,923

 
549,194

 
570,759

 
(203,831
)
Net income (loss) - America First Multifamily Investors, L. P.
15,033,861

 
17,714,919

 
4,446,844

 
(2,243,922
)
 
(400,360
)
Less: general partner's interest in net income
1,056,316

 
1,416,296

 
691,312

 
152,359

 
28,532

Unallocated loss of Consolidated Property VIEs
(635,560
)
 
(1,116,262
)
 
(1,522,846
)
 
(1,289,539
)
 
(2,466,260
)
Unitholders' interest in net income (loss)
$
14,613,105

 
$
17,414,885

 
$
5,278,378

 
$
(1,106,742
)
 
$
2,037,368

Unitholders' Interest in net income per unit (basic and diluted):
 
 
 
 
 
 
 
 
Income (loss) from continuing operations
$
0.25

 
$
0.32

 
$
0.09

 
$
(0.06
)
 
$
0.09

Income (loss) from discontinued operations
$
—

 
$
0.08

 
$
0.05

 
$
0.02

 
$
(0.02
)
Net income (loss), basic and diluted, per unit
$
0.25

 
$
0.40

 
$
0.14

 
$
(0.04
)
 
$
0.07

Distributions paid or accrued per unit
$
0.50

 
$
0.50

 
$
0.50

 
$
0.50

 
$
0.50

Weighted average number of units outstanding, basic and diluted
59,431,010

 
43,453,476

 
37,367,600

 
30,122,928

 
27,493,449







2


Please refer to the discussions Exhibit 99.1, Item 1, Form 8-K and Exhibit 99.3, Item 7, Form 8-K regarding the implementation of guidance on consolidations and its effects on the presentation of financial data in this recast Exhibit 99.4, Item 8, Form 8-K (continued):

 
For the
Year Ended
December 31, 2014
 
For the
Year Ended
December 31, 2013
 
For the
Year Ended
December 31, 2012
 
For the
Year Ended
December 31, 2011
 
For the
Year Ended
December 31, 2010
 
 
 
 
 
 
 
 
 
 
Mortgage revenue bonds, at fair value
$
70,601,045

 
$
68,946,370

 
$
45,703,294

 
$
26,542,565

 
$
27,115,164

Mortgage revenue bonds held in trust, at fair value
$
378,423,092

 
$
216,371,801

 
$
99,534,082

 
$
109,152,787

 
$
73,451,479

Public housing capital fund trusts, at fair value
$
61,263,123

 
$
62,056,379

 
$
65,389,298

 
$
—

 
$
—

Mortgage-backed securities, at fair value
$
14,841,558

 
$
37,845,661

 
$
32,121,412

 
$
—

 
$
—

Real estate assets, net
$
110,351,512

 
$
90,112,037

 
$
71,932,938

 
$
61,005,002

 
$
36,933,120

Total assets of discontinued operations
$
13,204,015

 
$
13,748,427

 
$
46,854,190

 
$
52,471,633

 
$
49,229,284

Total assets
$
744,239,217

 
$
534,233,032

 
$
413,150,755

 
$
297,976,545

 
$
241,607,249

Total debt of continuing operations
$
422,066,834

 
$
314,361,320

 
$
217,067,507

 
$
148,137,455

 
$
99,972,100

Total debt of discontinued operations
$
—

 
$
—

 
$
—

 
$
10,779,428

 
$
6,281,882

Cash flows provided by operating activities
$
17,444,171

 
$
14,232,724

 
$
7,482,090

 
$
10,229,300

 
$
2,200,893

Cash flows used in investing activities
$
(105,887,640
)
 
$
(158,421,463
)
 
$
(97,296,115
)
 
$
(31,811,420
)
 
$
(48,549,857
)
Cash flows provided by financing activities
$
126,318,797

 
$
125,175,254

 
$
99,932,112

 
$
28,518,485

 
$
42,345,477

Cash Available for Distribution (“CAD”)(1)
$
23,636,650

 
$
18,379,205

 
$
12,288,089

 
$
10,612,090

 
$
9,513,494


(1)  To calculate CAD, amortization expense related to debt financing costs and bond reissuance costs, Tier 2 income due to the general partner (as defined in the Partnership Agreement), interest rate derivative income or expense (including adjustments to fair value), provision for loan losses, provision for loss on receivables, impairments on assets, deferred gain and related interest, bond discount amortization net of cash received, losses related to consolidated VIEs, and depreciation and amortization expense on MF Property assets are added back to the Company’s net income (loss) as computed in accordance with GAAP. The Company uses CAD as a supplemental measurement of its ability to pay distributions.  The Company believes that CAD provides relevant information about its operations and is necessary along with net income (loss) for understanding its operating results.

Management utilizes a calculation of cash available for distribution or “CAD” as a means to determine the Partnership’s ability to make distributions to shareholders.  The General Partner believes that CAD provides relevant information about the Partnership’s operations and is necessary along with net income for understanding its operating results.  Net income is the GAAP measure most comparable to CAD. There is no generally accepted methodology for computing CAD, and the Partnership’s computation of CAD may not be comparable to CAD reported by other companies.  Although the Partnership considers CAD to be a useful measure of its operating performance, CAD is a non-GAAP measure and should not be considered as an alternative to net income or net cash flows from operating activities which are calculated in accordance with GAAP, or any other measures of financial performance or liquidity presented in accordance with GAAP.


3


The following sets forth a reconciliation of the Company’s net income (loss) as determined in accordance with GAAP and the Partnership’s CAD for the periods set forth.
 
 
2014
 
2013
 
2012
 
2011
 
2010
Net income - America First Multifamily Investors L.P.
 
$
15,033,861

 
$
17,714,919

 
$
4,446,844

 
$
(2,243,922
)
 
$
(400,360
)
Net loss related to VIEs and eliminations due to consolidation
 
635,560

 
1,116,262

 
1,522,846

 
1,289,539

 
2,466,260

Net income before impact of VIE consolidation
 
15,669,421

 
18,831,181

 
5,969,690

 
(954,383
)
 
2,065,900

Change in fair value of derivatives and interest rate derivative amortization
 
2,003,350

 
283,610

 
944,541

 
2,083,521

 
(571,684
)
Depreciation and amortization expense (Partnership only)
 
6,081,500

 
5,365,376

 
3,437,684

 
2,280,222

 
1,330,882

Provision for loan loss
 
75,000

 
168,000

 
—

 
4,242,571

 
1,147,716

Tier 2 Income distributable to the General Partner (1)
 
(937,106
)
 
(484,855
)
 
(657,933
)
 
(170,410
)
 
(472,246
)
Developer income (2)
 
619,948

 
528,000

 
—

 
—

 
—

Bond purchase premium (discount) amortization (accretion) (net of cash received)
 
116,329

 
256,615

 
160,464

 
(100,998
)
 
(403,906
)
Provision for loss on receivables
 
—

 
241,698

 
452,700

 
952,700

 
—

Depreciation and amortization related to discontinued operations
 
8,208

 
19,285

 
462,574

 
888,811

 
1,179,748

Deposit liability gain - sale of the Ohio Properties (1)
 
—

 
(1,775,527
)
 
—

 
—

 
1,775,527

Deposit liability gain - sale of the Greens Property (3)
 
—

 
(1,401,656
)
 
—

 
—

 
—

Greens Property deferred interest and reversal of deferral (4)
 
—

 
(135,264
)
 
135,264

 
—

 
—

Ohio Properties deferred interest and reversal of deferral (5)
 
—

 
(3,517,258
)
 
1,383,105

 
1,390,056

 
745,227

Asset impairment charge - Weatherford
 

 
—

 
—

 
—

 
2,716,330

CAD
 
$
23,636,650

 
$
18,379,205

 
$
12,288,089

 
$
10,612,090

 
$
9,513,494

Weighted average number of units outstanding,
 


 


 


 


 


basic and diluted
 
59,431,010

 
43,453,476

 
37,367,600

 
30,122,928

 
27,493,449

Net income (loss), basic and diluted, per unit
 
$
0.25

 
$
0.40

 
$
0.14

 
$
(0.04
)
 
$
0.07

Total CAD per unit
 
$
0.40

 
$
0.42

 
$
0.33

 
$
0.35

 
$
0.35

Distributions per unit
 
$
0.50

 
$
0.50

 
$
0.50

 
$
0.50

 
$
0.50


(1) As described in Note 2 to the consolidated financial statements, Net Interest Income representing contingent interest and Net Residual Proceeds representing contingent interest (Tier 2 income) will be distributed 75% to the shareholders and 25% to the General Partner. This adjustment represents the 25% of Tier 2 income due to the General Partner.
•
For the year ended December 31, 2014, the Company realized the sale of the Autumn Pines bond which resulted in an approximate $873,000 gain and Tier 2 income due to the General Partner of approximately $218,000, realized the redemption of the Lost Creek bond which resulted in an approximate $2.8 million gain and Tier 2 income due to the General Partner of approximately $709,000, and received contingent interest from Ashley Square generating $10,000 of Tier 2 income due to the General Partner.
•
For the year ended December 31, 2013, the Company realized approximately $1.9 million in Tier 2 income from the Iona Lakes mortgage revenue bond redemption. The Company determined that the approximate $1.8 million gain from the sale of Crescent Village, Willow Bend, and Post Woods, (collectively, the “Ohio Properties”) was Tier 2 income in 2010, the year in which the Ohio Properties were sold to the unaffiliated not-for-profit. As such, 25% of that gain was distributed to AFCA 2 in 2010 and there was no Tier 2 income reported in 2013 related to the Ohio Properties.
•
For the year ended 2012, the Tier 2 income is approximately $557K recognized on the Arbors at Hickory Ridge mortgage revenue bond re-structuring, $668K recognized on the GMF-Madison and GMF-Warren/Tulane mortgage revenue bond sale and $1.4 million recognized on the sale of the MF Properties.
•
For the year ended December 31, 2011, the Tier 2 income is approximately $445K recognized on the Briarwood mortgage revenue bond retirement and approximately $308K of contingent interest recognized upon the Clarkson mortgage revenue bond retirement.
•
For the year ended December 31, 2010, the deferred gain on the sale of the Ohio Properties generated approximately $1.8 million and contingent interest generated approximately $33K of Tier 2 income.
(2) The developer income amount represents cash received by the Partnership for developer and construction management services performed on The 50/50 Student Housing at UNL mixed-use project in Lincoln, Nebraska.  The development at the University of Nebraska - Lincoln is accounted for as an MF property and the cash received for these fees has been eliminated within the consolidated financial statements.  For purposes of CAD, management is treating these fees as if received from an unconsolidated entity. 
(3) The Partnership sold the Greens of Pine Glen (the “Greens Property”) in conjunction with the purchase of mortgage revenue bonds secured by the property. The sales price approximated the 2009 property purchase price and therefore the gain from the sale of the property related entirely to depreciation recapture. For this reason, the General Partner concluded that the gain should be excluded from the calculation of CAD.
(4) In July 2013, the Company recognized the sale of the Greens Property. The Company was required to follow the deposit method of accounting and had to defer to the gain until sufficient equity was invested by the new unaffiliated owners (which occurred in July 2013). Mortgage interest income of approximately $135,000 was received by the Partnership between October 2012 and December 31, 2012 and reported in 2012 CAD, and as such, the amount was reversed in the first nine months of the 2013 CAD calculation. As such, approximately $135,000 of CAD is being reversed out in the 2013 calculation of CAD.
(5) The recognition of the sale of the Ohio Properties allowed the Company to 1) realize approximately $4.2 million of interest income on the mortgage revenue bonds, 2) recognize approximately $1.1 million of taxable interest income on taxable property loans receivable it holds with the Ohio Properties, and 3) realize a $250,000 guarantee fee from the general partner owner of the Ohio Properties all in 2013 (see Note 10 to the Company’s consolidated financial statements). Mortgage interest income of $3.5 million of the $4.2 million had been previously received by the Partnership and reported in CAD, and as such, the amount was reversed in the 2013 CAD calculation.


4