Atheton Baptist Homes FYE 12/31/2016 Annual Reporting Requirements Debt Service Coverage Funds Available for Debt Service Operating income $264,363 Add: fees, net of refunds 3,053,057 Interest expense, including amortization of deferred financing costs and bond premium 2,060,659 Depreciation and amortization of deferred marketing costs 2,685,963 Provision for doubtful accounts 123,663 Less: Amortization of entrance fees -2,478,563 Funds Available for Debt Service $5,709,142 Maximum Annual Debt Service Coverage Ratio Funds Available for Debt Service $5,709,142 Divide by Maximum Annual Debt Service 2,085,081 Debt Service Coverage Ratio - FYE 12/31/2016 2.74 Debt Service Coverage Ratio - Bond Covenant 1.25 Current Ratio Current Assets $8,286,160 Divide by current liabilities $3,072,111 Current Ratio - FYE 12/31/2016 2.70 Current Ratio - Bond Covenant 1.50
Days Cash on Hand Cash and cash equivalents $3,824,629 Investments 2,020,114 Assets limited by board as to use 5,263,845 Total Unrestricted Cash and Investments $11,108,588 Total Operating Expenses $20,464,063 Less: Depreciation expense -2,481,885 Amortization-deferred marketing costs -204,078 Amortization-deferred financing costs -87,436 Provision for doubtful accounts -123,663 Add: Amortization-bond premium 17,812 Subtotal Net Operating Expenses $17,584,813 Number of days 366 Daily Operating Expense Net Operating Expenses 366 days $48,046 Days Cash on Hand - FYE 12/31/2016 231 Days Cash on Hand - Bond Covenant 150
Classic Residential Living Unit Mix UNITS SIZE (SQ. FT.) Studios 4 406 One Bedroom 66 700-900 Two Bedroom & Two Bedroom w/den 80 900-1,800 Cottages/Houses 20 1,600-2,200 TOTAL 170 Courtyard Residential Living Unit Mix UNITS SIZE (SQ. FT.) One Bedroom, with Den 9 1,044 Two Bedrooms 24 1,156 Two Bedrooms, with Den 17 1,350 TOTAL 50 Assisted Living Unit/Companion Care Mix UNITS SIZE (SQ. FT.) One Bedroom 20 374-475 Two Bedrooms 10 494-688 Large Two Bedrooms 2 775-836 Private Rooms (2) 4 125-152 TOTAL 36 (2) Secured Companion Care for early stage cognitive impairment. Health Care Center Unit Mix BEDS Private Rooms 31 Semi-Private Rooms 68 TOTAL 99
Type of Unit Schedule of 2016 s in Classic Residential Living Units Apartments Irving Manor Maloney Manor Washington Place Irving Terrace Houses/Cottages Casa Colby Quad/Tri/Duplex Declining Declining Refundable (1) Refundable (1) Declining Refundable (1) Studio N/A N/A $92,000 $1,890 N/A N/A 1BR 1BA $112,000 $2,270 132,000 2,390 $152,000 $2,575 2BR 1BA 120,000 2,490 153,000 2,600 173,000 2,785 2BR 1.5BA 148,000 2,730 184,000 2,850 209,000 3,025 2BR 2BA 178,000 3,000 214,000 3,100 224,000 3,295 2BR 2BA with Den N/A N/A 230,000 3,320 240,000 3,515 Cottages/Houses N/A N/A N/A N/A 260,000 3,815 (1) Represents Declining Refundable Continuing Care contract offered on Classic units. Declining refundable entrance fees amortize over the first 48 months of residency and are not refundable after 48 months. Second Person: Additional : $20,000 Additional : $625 Schedule of 2016 s in Courtyard Residential Living Units 50% Repayable 70% Repayable 90% Repayable Type of Unit 1BR 1.5BA Mission 2BR 2BA Gabrielino 2BR 2BA Den Alhambra Repayment Repayment Repayment $310,000 $155,000 $378,000 $264,600 $480,000 $432,000 $3,450 330,000 165,000 403,000 282,100 512,000 460,800 3,850 351,000 175,500 429,000 300,300 546,000 491,400 4,250 Second Person: Additional : $20,000 Additional : $625
Schedule of 2016 s in Assisted Living Units Type of Unit One Bedroom $50,000 $3,315 Two Bedrooms 50,000 $3,855-$4,225 Large Two Bedrooms 50,000 $4,825-$5,205 Private Rooms (2) 50,000 $6,000-$6,500 Total (2) Secured Companion Care for early stage cognitive impairment. Second Person: Additional : $5,000 Additional : $370-380 Schedule of 2016 s in Health Care Center Type of Unit Daily Rate Contracted Residents Daily Rate Non-Contracted Residents Private Rooms $300 $330 Semi-Private Rooms $251 $276 Utilization Fiscal Year Ended December 31, 2016 Residential Living Available Units 220 Occupancy at end of period 208 Percent 94.5% Assisted Living/Companion Care Available Units 36 Occupancy at end of period 26 Percent 72.2% Skilled Nursing Available Units 99 Average occupancy 94 Percent 94.9%
Residential Living Turnover Fiscal Year Ended December 31, 2016 Total Move ins 29 Total Vacated Units 21 Turnover Percent 10.47% s Received $ 5,945,550 s Repaid 2,513,313 s Refunded 379,180 Net s $ 3,053,057 Sources of Revenue for Health Care Center Fiscal Year Ended December 31, 2016 Private 53.9% Medicare Part A 13.2% Medicare Part B (Ancillary Services) 3.7% Medi-Cal & Managed Care 24.7% Hospice 1.0% HMO 3.5% Total 100.0%
214 S. Atlantic Bl vd. Alhambra, California 91801 ATl-IERTON TEL 626-289-4178 FAX 626-576-0857 www.abh.org April 28, 201 7 Ms. Kathryn Valdivia Vice-President Wells Fargo Bank, N.A. Corporate Trust Services 333 S. Grand A venue, 5th Floor, Suite A Los Angeles, CA 9001 7 Re: City of Alhambra Revenue Bonds (Atherton Baptist Homes Project) Series 2016 Dear Ms. Valdivia: Pursuant to Section 5.13 of the Loan Agreement dated November 1, 2016 and Section 4 of the Continuing Disclosure Agreement dated November 1, 2016 for the above referenced bond issue, the undersigned, an Authorized Corporation Representative of Atherton Baptist Homes, (the "Corporation") hereby certifies the attached audited financial statements as of fiscal year ended December 31, 2016 as well as the annual report on financial and operating data as of fiscal year ended December 31, 2016 are true and accurate to the best of the Corporation's knowledge and hereby represents that the Corporation is in compliance with the terms, provisions and conditions of the Regulatory Agreement and the Loan Agreement as of fiscal year ended December 31, 2016. By: Atherton Baptist Homes #~ Date: 04/28/2017 Christian living for today's seniors