##### Table of Contents



UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-Q
 þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended June 30, 2009
 or
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from __________ to ___________
 Commission File Number: 001-32162
 
 CORPORATE PROPERTY ASSOCIATES 16  GLOBAL INCORPORATED
  Maryland
(State of incorporation)
    
    80-0067704
(I.R.S. Employer Identification No.)50 Rockefeller PlazaNew York, New York
    
    10020(Address of principal executive office)
    
    (Zip Code)
 Investor Relations (212) 492-8920
(212) 492-1100
 þ o
 Yes o No o
  Large accelerated filer o
    
    Accelerated filer o
    
    Non-accelerated filer þ
    
    Smaller reporting company o(Do not check if a smaller reporting company)
 o þ




---



##### 



INDEX
 Page No.PART I  FINANCIAL INFORMATIONItem 1. Financial StatementsConsolidated Balance Sheets as of June 30, 2009 and December 31, 2008
    
    
    2Consolidated Statements of Operations for the three and six months ended June 30, 2009 and 2008
    
    
    3Consolidated
Statements of Comprehensive Income (Loss) for the three and six months ended June 30, 2009 and 2008
    
    
    4Consolidated Statements of Cash Flows for the six months ended June 30, 2009 and 2008
    
    
    5Notes to Consolidated Financial Statements
    
    
    6Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
    
    
    21Item 3. Quantitative and Qualitative Disclosures About Market Risk
    
    
    31Item 4T. Controls and Procedures
    
    
    33PART II  OTHER INFORMATIONItem 2. Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    33Item 4. Submission of Matters to a Vote of Security Holders
    
    
    34Item 6. Exhibits
    
    
    34Signatures
    
    
    35Exhibit 3.2Exhibit 31.1Exhibit 31.2Exhibit 32
  Forward Looking Statements
   CPA ® :16  Global 6/30/2009 10-Q 1




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##### Table of Contents



PART I
 
 Item 1. Financial Statements
 CORPORATE PROPERTY ASSOCIATES 16  GLOBAL INCORPORATED
 
 Consolidated Balance Sheets (Unaudited)
 (in thousands, except share and per share amounts)
 June 30, 2009
    
    
    December 31, 2008(NOTE)AssetsReal estate, net
    
    $
    1,564,198
    
    
    $
    1,584,700Net investment in direct financing leases
    
    
    345,388
    
    
    
    341,335Equity investments in real estate
    
    
    250,739
    
    
    
    185,120Operating real estate, net
    
    
    78,777
    
    
    
    79,470Notes receivable
    
    
    353,126
    
    
    
    351,200Cash and cash equivalents
    
    
    65,757
    
    
    
    174,209Intangible assets, net
    
    
    161,538
    
    
    
    168,088Funds in escrow
    
    
    27,982
    
    
    
    52,163Other assets, net
    
    
    35,934
    
    
    
    30,918Total assets
    
    $
    2,883,439
    
    
    $
    2,967,203Liabilities and EquityLiabilities:Non-recourse debt
    
    $
    1,422,783
    
    
    $
    1,438,226Accounts payable, accrued expenses and other liabilities
    
    
    37,683
    
    
    
    52,836Prepaid and deferred rental income and security deposits
    
    
    54,918
    
    
    
    56,053Due to affiliates
    
    
    12,197
    
    
    
    21,502Distributions payable
    
    
    20,232
    
    
    
    20,140Total liabilities
    
    
    1,547,813
    
    
    
    1,588,757Redeemable noncontrolling interests
    
    
    330,688
    
    
    
    331,841Commitments and contingenciesEquity:CPA®:16  Global shareholders equity:Common stock, $0.001 par value; 250,000,000 shares authorized;
127,703,510 and
125,352,123 shares issued, respectively
    
    
    127
    
    
    
    125Additional paid-in capital
    
    
    1,152,540
    
    
    
    1,130,135Distributions in excess of accumulated earnings
    
    
    (184,635
    )
    
    
    (141,938
    )Accumulated other comprehensive income
    
    
    1,440
    
    
    
    2,140969,472
    
    
    
    990,462Less, treasury stock at cost, 5,525,470 and 3,286,473 shares, respectively
    
    
    (50,975
    )
    
    
    (30,566
    )Total CPA®:16  Global shareholders equity
    
    
    918,497
    
    
    
    959,896Noncontrolling interests
    
    
    86,441
    
    
    
    86,709Total equity
    
    
    1,004,938
    
    
    
    1,046,605Total liabilities and equity
    
    $
    2,883,439
    
    
    $
    2,967,203
 Note:
    
    The consolidated balance sheet at December 31, 2008 has been derived from the consolidated
financial statements at that date as adjusted (Note 2).  CPA ® :16  Global 6/30/2009 10-Q 2




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##### Table of Contents



CORPORATE PROPERTY ASSOCIATES 16  GLOBAL INCORPORATED
 
 Consolidated Statements of Operations (Unaudited)
 (in thousands, except share and per share amounts)
 Three months ended June 30,
    
    
    Six months ended June 30,2009
    
    
    2008
    
    
    2009
    
    
    2008RevenuesRental income
    
    $
    38,419
    
    
    $
    38,888
    
    
    $
    75,974
    
    
    $
    75,669Interest income from direct financing leases
    
    
    6,934
    
    
    
    7,596
    
    
    
    13,597
    
    
    
    14,677Interest income on notes receivable
    
    
    7,050
    
    
    
    7,857
    
    
    
    13,709
    
    
    
    15,138Other real estate income
    
    
    6,233
    
    
    
    6,455
    
    
    
    11,947
    
    
    
    10,996Other operating income
    
    
    876
    
    
    
    882
    
    
    
    1,698
    
    
    
    1,45659,512
    
    
    
    61,678
    
    
    
    116,925
    
    
    
    117,936Operating ExpensesDepreciation and amortization
    
    
    (11,899
    )
    
    
    (11,724
    )
    
    
    (23,575
    )
    
    
    (22,853
    )Property expenses
    
    
    (9,267
    )
    
    
    (7,723
    )
    
    
    (18,098
    )
    
    
    (15,226
    )Other real estate expenses
    
    
    (4,596
    )
    
    
    (4,949
    )
    
    
    (9,037
    )
    
    
    (8,989
    )General and administrative
    
    
    (2,086
    )
    
    
    (2,866
    )
    
    
    (4,638
    )
    
    
    (6,136
    )Impairment charges
    
    
    (5,101
    )
    
    
    
    
    
    
    (21,085
    )
    
    
    (32,949
    )
    
    
    (27,262
    )
    
    
    (76,433
    )
    
    
    (53,204
    )Other Income and ExpensesIncome from equity investments in real estate
    
    
    5,329
    
    
    
    3,035
    
    
    
    8,393
    
    
    
    5,588Other interest income
    
    
    45
    
    
    
    1,145
    
    
    
    170
    
    
    
    2,737Gain on extinguishment of debt
    
    
    
    
    
    
    
    
    
    
    6,512
    
    
    
    Other income and expenses
    
    
    1,314
    
    
    
    779
    
    
    
    982
    
    
    
    3,311Interest expense
    
    
    (19,900
    )
    
    
    (22,049
    )
    
    
    (40,336
    )
    
    
    (43,356
    )(13,212
    )
    
    
    (17,090
    )
    
    
    (24,279
    )
    
    
    (31,720
    )Income before income taxes
    
    
    13,351
    
    
    
    17,326
    
    
    
    16,213
    
    
    
    33,012Provision for income taxes
    
    
    (1,020
    )
    
    
    (1,357
    )
    
    
    (1,317
    )
    
    
    (2,685
    )Net Income
    
    
    12,331
    
    
    
    15,969
    
    
    
    14,896
    
    
    
    30,327Less: Net income attributable to noncontrolling interests
    
    
    (1,244
    )
    
    
    (981
    )
    
    
    (5,427
    )
    
    
    (2,868
    )Less: Net income attributable to redeemable noncontrolling interests
    
    
    (5,738
    )
    
    
    (7,155
    )
    
    
    (11,765
    )
    
    
    (13,814
    )Net Income (Loss) Attributable to CPA®:16  Global Shareholders
    
    $
    5,349
    
    
    $
    7,833
    
    
    $
    (2,296
    )
    
    $
    13,645Earnings (Loss) Per ShareNet income (loss) attributable to CPA®:16  Global shareholders
    
    $
    0.04
    
    
    $
    0.06
    
    
    $
    (0.02
    )
    
    $
    0.11Weighted Average Shares Outstanding
    
    
    122,675,513
    
    
    
    120,930,804
    
    
    
    122,732,345
    
    
    
    120,435,559Distributions Declared Per Share
    
    $
    0.1656
    
    
    $
    0.1642
    
    
    $
    0.3309
    
    
    $
    0.3279
  CPA ® :16  Global 6/30/2009 10-Q 3




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CORPORATE PROPERTY ASSOCIATES 16  GLOBAL INCORPORATED
 
 Consolidated Statements of Comprehensive Income (Loss) (Unaudited)
 (in thousands)
 Three months ended June 30,
    
    
    Six months ended June 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Net Income
    
    $
    12,331
    
    
    $
    15,969
    
    
    $
    14,896
    
    
    $
    30,327Other Comprehensive Income (Loss)Foreign currency translation adjustment
    
    
    40,022
    
    
    
    (2,257
    )
    
    
    (1,110
    )
    
    
    40,530Change in unrealized gain (loss) on derivative instruments
    
    
    742
    
    
    
    2,017
    
    
    
    (357
    )
    
    
    754Change in unrealized (loss) gain on marketable securities
    
    
    (31
    )
    
    
    10
    
    
    
    (28
    )
    
    
    (9
    )40,733
    
    
    
    (230
    )
    
    
    (1,495
    )
    
    
    41,275Comprehensive income
    
    
    53,064
    
    
    
    15,739
    
    
    
    13,401
    
    
    
    71,602Less: Net income attributable to noncontrolling interests
    
    
    (1,244
    )
    
    
    (981
    )
    
    
    (5,427
    )
    
    
    (2,868
    )Less: Net income attributable to redeemable noncontrolling interests
    
    
    (5,738
    )
    
    
    (7,155
    )
    
    
    (11,765
    )
    
    
    (13,814
    )Less: Foreign currency translation adjustment attributable to
noncontrolling interests
    
    
    (4,284
    )
    
    
    (27
    )
    
    
    (330
    )
    
    
    (4,097
    )Less: Change in unrealized gain on derivative instruments
attributable to noncontrolling interests
    
    
    (31
    )
    
    
    
    
    
    
    (28
    )
    
    
    (Less) Add: Foreign currency translation adjustment attributable to
redeemable noncontrolling interests
    
    
    (19,773
    )
    
    
    40
    
    
    
    1,153
    
    
    
    (25,171
    )Comprehensive Income (Loss) Attributable to CPA®:16 
Global Shareholders
    
    $
    21,994
    
    
    $
    7,616
    
    
    $
    (2,996
    )
    
    $
    25,652
  CPA ® :16  Global 6/30/2009 10-Q 4




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##### Table of Contents



CORPORATE PROPERTY ASSOCIATES 16  GLOBAL INCORPORATED
 
 Consolidated Statements of Cash Flows (Unaudited)
 (in thousands)
 Six months ended June 30,2009
    
    
    2008Cash Flows  Operating ActivitiesNet income
    
    $
    14,896
    
    
    $
    30,327Adjustments to reconcile net income to net cash provided by operating activities:Depreciation and amortization including intangible assets and deferred financing costs
    
    
    23,977
    
    
    
    23,440Straight-line rent adjustments and amortization of rent-related intangibles
    
    
    1,364
    
    
    
    1,288Income from equity investments in real estate in excess of distributions received
    
    
    (639
    )
    
    
    (3,018
    )Issuance of shares to affiliate in satisfaction of fees due
    
    
    5,916
    
    
    
    6,383Gain on extinguishment of debt
    
    
    (6,512
    )
    
    
    Realized loss (gain) on foreign currency transactions, net
    
    
    760
    
    
    
    (1,744
    )Unrealized gain on foreign currency and derivative transactions, net
    
    
    (1,742
    )
    
    
    (1,431
    )Realized gain on sale of real estate
    
    
    
    
    
    
    (136
    )Impairment charges
    
    
    21,085
    
    
    
    Change in other operating assets and liabilities, net
    
    
    (1,476
    )
    
    
    3,536Net cash provided by operating activities
    
    
    57,629
    
    
    
    58,645Cash Flows  Investing ActivitiesDistributions from equity investments in real estate in excess of equity income
    
    
    5,695
    
    
    
    6,479Contributions to equity investments in real estate
    
    
    (71,088
    )
    
    
    (6,205
    )Acquisitions of real estate and other capital expenditures
    
    
    (17,713
    )
    
    
    (125,785
    )Funding/purchases of notes receivable
    
    
    (3,159
    )
    
    
    (1,926
    )Funds placed in escrow for future acquisition and construction of real estate
    
    
    
    
    
    
    (18,511
    )Release of funds held in escrow for acquisition and construction of real estate
    
    
    6,610
    
    
    
    40,616VAT taxes recovered in connection with acquisitions of real estate
    
    
    
    
    
    
    3,286Proceeds from sale of real estate
    
    
    120
    
    
    
    22,886Receipt of principal payment of mortgage note receivable
    
    
    
    
    
    
    149Payment of deferred acquisition fees to affiliate
    
    
    (9,082
    )
    
    
    (29,546
    )Net cash used in investing activities
    
    
    (88,617
    )
    
    
    (108,557
    )Cash Flows  Financing ActivitiesDistributions paid
    
    
    (40,309
    )
    
    
    (39,085
    )Distributions paid to noncontrolling interests
    
    
    (21,827
    )
    
    
    (18,686
    )Contributions from noncontrolling interests
    
    
    2,786
    
    
    
    282Proceeds from mortgages and notes payable
    
    
    29,000
    
    
    
    100,212Scheduled payments of mortgage principal
    
    
    (8,738
    )
    
    
    (8,462
    )Prepayment of mortgages and note payable
    
    
    (32,500
    )
    
    
    (3,286
    )Deferred financing costs and mortgage deposits, net of deposits refunded
    
    
    (284
    )
    
    
    (456
    )Proceeds from issuance of shares, net of costs of raising capital
    
    
    16,491
    
    
    
    15,486Purchase of treasury stock
    
    
    (20,409
    )
    
    
    (4,741
    )Net cash (used in) provided by financing activities
    
    
    (75,790
    )
    
    
    41,264Change in Cash and Cash Equivalents During the PeriodEffect of exchange rate changes on cash
    
    
    (1,674
    )
    
    
    (1,985
    )Net decrease in cash and cash equivalents
    
    
    (108,452
    )
    
    
    (10,633
    )Cash and cash equivalents, beginning of period
    
    
    174,209
    
    
    
    211,759Cash and cash equivalents, end of period
    
    $
    65,757
    
    
    $
    201,126
  CPA ® :16  Global 6/30/2009 10-Q 5




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##### Table of Contents



CORPORATE PROPERTY ASSOCIATES 16  GLOBAL INCORPORATED
 
 Notes to Consolidated Financial Statements (Unaudited)
 Note 1. Business
  Note 2. Basis of Presentation
  Basis of Consolidation
     CPA ® :16  Global 6/30/2009 10-Q 6




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Notes to Consolidated Financial Statements
 Information about International Geographic Areas
  Reclassifications
  Adoption of New Accounting Pronouncements
 SFAS 157
  SFAS 141R
  SFAS 160
  SFAS 161
  FSP 142-3
  CPA ® :16  Global 6/30/2009 10-Q 7




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Notes to Consolidated Financial Statements
 FSP 107-1
  FSP 157-4
  FSP 115-2 and 124-2
  SFAS 165
  Recent Accounting Pronouncements
 SFAS 166
  SFAS 167
  CPA ® :16  Global 6/30/2009 10-Q 8




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##### Table of Contents



Notes to Consolidated Financial Statements
 Note 3. Agreements and Transactions with Related Parties
  ®
     CPA ® :16  Global 6/30/2009 10-Q 9




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Notes to Consolidated Financial Statements
 ® ®
 Note 4. Real Estate
  June 30, 2009
    
    
    December 31, 2008Land
    
    $
    334,364
    
    
    $
    340,216Buildings
    
    
    1,325,039
    
    
    
    1,320,944Less: Accumulated depreciation
    
    
    (95,314
    )
    
    
    (76,943
    )1,564,089
    
    
    
    1,584,217Real estate under construction
    
    
    109
    
    
    
    483$
    1,564,198
    
    
    $
    1,584,700
   June 30, 2009
    
    
    December 31, 2008Land
    
    $
    8,297
    
    
    $
    8,296Buildings
    
    
    75,353
    
    
    
    74,480Less: Accumulated depreciation
    
    
    (4,873
    )
    
    
    (3,306
    )$
    78,777
    
    
    $
    79,470
  Note 5. Equity Investments in Real Estate
   CPA ® :16  Global 6/30/2009 10-Q 10




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##### Table of Contents



Notes to Consolidated Financial Statements
  Ownership Interest at
    
    
    Carrying Value atLessee
    
    June 30, 2009
    
    
    June 30, 2009
    
    
    December 31, 2008Equity Investments in Real Estate:The New York Times Company (a)
    
    
    27
    %
    
    $
    64,248
    
    
    $
    U-Haul Moving Partners, Inc. and Mercury Partners, L.P.
    
    
    31
    %
    
    
    34,268
    
    
    
    34,817Schuler A.G. (b)
    
    
    33
    %
    
    
    22,681
    
    
    
    22,982Frontier Spinning Mills, Inc.
    
    
    40
    %
    
    
    15,577
    
    
    
    15,551Hellweg Die Profi-Baumarkte GmbH & Co. KG (Hellweg 1)
(b)
    
    
    25
    %
    
    
    16,608
    
    
    
    16,058Police Prefecture, French Government (b) (c)
    
    
    50
    %
    
    
    8,704
    
    
    
    13,310TietoEnator Plc (b)
    
    
    40
    %
    
    
    8,293
    
    
    
    8,385Pohjola Non-life Insurance Company (b)
    
    
    40
    %
    
    
    7,366
    
    
    
    7,696OBI A.G. (b) (d)
    
    
    25
    %
    
    
    7,536
    
    
    
    8,829Actebis Peacock GmbH (b)
    
    
    30
    %
    
    
    5,636
    
    
    
    5,833Lindenmaier A.G. (b)
    
    
    33
    %
    
    
    4,306
    
    
    
    4,565Actuant Corporation (b)
    
    
    50
    %
    
    
    2,761
    
    
    
    2,845Consolidated Systems, Inc.
    
    
    40
    %
    
    
    2,144
    
    
    
    2,164Thales S.A.
(b) (f)
    
    
    35
    %
    
    
    1,170
    
    
    
    201,298
    
    
    
    143,035ADC Equity Arrangement:Soho House Beach House LLC (e)
    
    
    N/A
    
    
    
    49,441
    
    
    
    42,085$
    250,739
    
    
    $
    185,120
 
 (a)
    
    We acquired our interest in this investment during the first quarter of 2009 (Note 6).(b)
    
    Carrying value of investment is affected by the impact of fluctuations in the exchange rate
of the Euro.(c)
    
    The decrease in carrying value was primarily due to cash distributions made to us by the
venture.(d)
    
    Carrying value of investment included our share of the net loss on interest rate swap
derivative instruments recognized by the venture.(e)
    
    The ADC equity arrangement provides for a fixed annual interest rate of 5.8% and matures in
April 2010. We are committed to purchase the property at a fixed price upon completion, and
the borrower has little or no equity in the transaction. At June 30, 2009 and December 31,
2008, we had funded $43.1 million and $37.0 million, respectively, of our total commitment of
$62.5 million.(f)
    
    The venture sold four of the five properties leased to Thales
in July 2009 (Note 11).  June 30, 2009
    
    
    December 31, 2008Assets
    
    $
    1,584,890
    
    
    $
    1,388,116Liabilities
    
    
    (905,483
    )
    
    
    (911,235
    )Partners and members equity
    
    $
    679,407
    
    
    $
    476,881
 Three months ended June 30,
    
    
    Six months ended June 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Revenues
    
    $
    34,563
    
    
    $
    31,860
    
    
    $
    65,025
    
    
    $
    61,779Expenses
    
    
    (21,956
    )
    
    
    (23,560
    )
    
    
    (43,024
    )
    
    
    (45,219
    )Net income
    
    $
    12,607
    
    
    $
    8,300
    
    
    $
    22,001
    
    
    $
    16,560
 CPA ® :16  Global 6/30/2009 10-Q 11




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Notes to Consolidated Financial Statements
  Note 6. Acquisitions of Real Estate-Related Investments
 Real Estate Acquired
 2008 
 Equity Investment in Real Estate Acquired
 2009  ®
 Real Estate Under Construction
  Note 7. Fair Value Measurements
  Fair Value Measurements at Reporting Date Using:Quoted Prices inActive Markets for
    
    
    Significant Other
    
    
    UnobservableIdentical Assets
    
    
    Observable Inputs
    
    
    InputsDescription
    
    June 30, 2009
    
    
    (Level 1)
    
    
    (Level 2)
    
    
    (Level 3)Assets:Money market funds
    
    $
    37,106
    
    
    $
    37,106
    
    
    $
    
    
    
    $
    Marketable equity securities
    
    
    2,008
    
    
    
    
    
    
    
    
    
    
    
    2,008Derivative assets
    
    
    4,454
    
    
    
    
    
    
    
    81
    
    
    
    4,373$
    43,568
    
    
    $
    37,106
    
    
    $
    81
    
    
    $
    6,381Liabilities:Derivative liabilities
    
    $
    (400
    )
    
    $
    
    
    
    $
    (400
    )
    
    $
    
 CPA ® :16  Global 6/30/2009 10-Q 12




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##### Table of Contents



Notes to Consolidated Financial Statements
 Fair Value Measurements at Reporting Date Using:Quoted Prices inActive Markets for
    
    
    Significant Other
    
    
    UnobservableIdentical Assets
    
    
    Observable Inputs
    
    
    InputsDescription
    
    December 31, 2008
    
    
    (Level 1)
    
    
    (Level 2)
    
    
    (Level 3)Assets:Money market funds
    
    $
    137,203
    
    
    $
    137,203
    
    
    $
    
    
    
    $
    Marketable securities
    
    
    2,192
    
    
    
    
    
    
    
    
    
    
    
    2,192Derivative assets
    
    
    2,973
    
    
    
    
    
    
    
    
    
    
    
    2,973$
    142,368
    
    
    $
    137,203
    
    
    $
    
    
    
    $
    5,165Liabilities:Derivative liabilities
    
    $
    (520
    )
    
    $
    
    
    
    $
    (520
    )
    
    $
    
  Fair Value Measurements UsingSignificant Unobservable Inputs (Level 3 Only)Marketable
    
    
    Derivative
    
    
    Total
    
    
    Marketable
    
    
    Derivative
    
    
    TotalSecurities
    
    
    Assets
    
    
    Assets
    
    
    Securities
    
    
    Assets
    
    
    AssetsThree months ended June 30,  2009
    
    
    Three months ended June 30,  2008Beginning balance
    
    $
    2,119
    
    
    $
    3,494
    
    
    $
    5,613
    
    
    $
    2,345
    
    
    $
    8,166
    
    
    $
    10,511Total gains or losses (realized and unrealized):Included in earnings
    
    
    
    
    
    
    703
    
    
    
    703
    
    
    
    
    
    
    
    14
    
    
    
    14Included in other comprehensive income
    
    
    (32
    )
    
    
    176
    
    
    
    144
    
    
    
    10
    
    
    
    (39
    )
    
    
    (29
    )Amortization and accretion
    
    
    (79
    )
    
    
    
    
    
    
    (79
    )
    
    
    (75
    )
    
    
    
    
    
    
    (75
    )Ending balance
    
    $
    2,008
    
    
    $
    4,373
    
    
    $
    6,381
    
    
    $
    2,280
    
    
    $
    8,141
    
    
    $
    10,421The amount of total gains or losses for the period
included in earnings attributable to the change in
unrealized gains or losses relating to assets
still held at the reporting date
    
    $
    
    
    
    $
    703
    
    
    $
    703
    
    
    $
    
    
    
    $
    14
    
    
    $
    14
 Fair Value Measurements UsingSignificant Unobservable Inputs (Level 3 Only)Marketable
    
    
    Derivative
    
    
    Total
    
    
    Marketable
    
    
    Derivative
    
    
    TotalSecurities
    
    
    Assets
    
    
    Assets
    
    
    Securities
    
    
    Assets
    
    
    AssetsSix months ended June 30, 2009
        
    
    Six months ended June 30, 2008Beginning balance
    
    $
    2,192
    
    
    $
    2,973
    
    
    $
    5,165
    
    
    $
    2,438
    
    
    $
    6,246
    
    
    $
    8,684Total gains or losses (realized and unrealized):Included in earnings
    
    
    
    
    
    
    1,350
    
    
    
    1,350
    
    
    
    
    
    
    
    1,449
    
    
    
    1,449Included in other comprehensive income
    
    
    (29
    )
    
    
    50
    
    
    
    21
    
    
    
    (9
    )
    
    
    446
    
    
    
    437Amortization and accretion
    
    
    (155
    )
    
    
    
    
    
    
    (155
    )
    
    
    (149
    )
    
    
    
    
    
    
    (149
    )Ending balance
    
    $
    2,008
    
    
    $
    4,373
    
    
    $
    6,381
    
    
    $
    2,280
    
    
    $
    8,141
    
    
    $
    10,421The amount of total gains or losses for the period
included in earnings attributable to the change in
unrealized gains or losses relating to assets still held at
the reporting date
    
    $
    
    
    
    $
    1,350
    
    
    $
    1,350
    
    
    $
    
    
    
    $
    1,449
    
    
    $
    1,449
  CPA ® :16  Global 6/30/2009 10-Q 13




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##### Table of Contents



Notes to Consolidated Financial Statements
   June 30, 2009
    
    
    December 31, 2008Carrying Value
    
    
    Fair Value
    
    
    Carrying Value
    
    
    Fair ValueNon-recourse debt
    
    $
    1,422,783
    
    
    $
    1,194,319
    
    
    $
    1,438,226
    
    
    $
    1,202,552Notes receivable(a)
    
    
    353,126
    
    
    
    348,089
    
    
    
    351,200
    
    
    
    341,238Marketable securities (b)
    
    
    1,998
    
    
    
    2,009
    
    
    
    2,153
    
    
    
    2,192
 
 (a)
    
    Includes note receivable acquired in connection with the Hellweg 2 transaction.(b)
    
    Carrying value represents historical cost for marketable securities.  Note 8. Risk Management and Use of Derivative Financial Instruments
 Risk Management
  Foreign Currency Exchange
  Use of Derivative Financial Instruments
  CPA ® :16  Global 6/30/2009 10-Q 14




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##### Table of Contents



Notes to Consolidated Financial Statements
   Balance Sheet
    
    Asset Derivatives Fair Value at
    
    
    Liability Derivatives Fair Value atLocation
    
    June 30, 2009
    
    
    December 31, 2008
    
    
    June 30, 2009
    
    
    December 31, 2008Derivatives designated as hedging
instruments under SFAS 133Interest rate caps
    
    Other assets
    
    $
    81
    
    
    $
    
    
    
    $
    
    
    
    $
    Foreign exchange contracts
    
    Other liabilities
    
    
    
    
    
    
    
    
    
    
    (142
    )
    
    
    Interest rate swaps
    
    Other liabilities
    
    
    
    
    
    
    
    
    
    
    (258
    )
    
    
    (520
    )81
    
    
    
    
    
    
    
    (400
    )
    
    
    (520
    )Derivatives not designated as
hedging instruments under
SFAS 133Embedded credit derivatives
    
    Other assets
    
    
    3,239
    
    
    
    2,095
    
    
    
    
    
    
    
    Stock warrants
    
    Other assets
    
    
    1,134
    
    
    
    878
    
    
    
    
    
    
    
    4,373
    
    
    
    2,973
    
    
    
    
    
    
    
    Total derivatives
    
    
    
    $
    4,454
    
    
    $
    2,973
    
    
    $
    (400
    )
    
    $
    (520
    )
  Amount of Gain (Loss)
    
    
    Amount of Gain (Loss)Recognized in OCI on Derivative
    
    
    Reclassified from OCI into Income(Effective Portion)
    
    
    (Effective Portion)Derivatives in SFAS 133
    
    Three months ended June 30,
    
    
    Three months ended June 30,Cash Flow Hedging Relationships
    
    2009
    
    
    2008
    
    
    2009
    
    
    2008Interest rate caps (a) (b)
    
    $
    61
    
    
    $
    
    
    
    $
    
    
    
    $
    Interest rate swaps (a)
    
    
    227
    
    
    
    193
    
    
    
    
    
    
    
    Foreign currency forward contracts
(a) (c)
    
    
    (160
    )
    
    
    
    
    
    
    
    
    
    
    Total
    
    $
    128
    
    
    $
    193
    
    
    $
    
    
    
    $
    
 Amount of Gain (Loss)
    
    
    Amount of Gain (Loss)Recognized in OCI on Derivative
    
    
    Reclassified from OCI into Income(Effective Portion)
    
    
    (Effective Portion)Derivatives in SFAS 133
    
    Six months ended June 30,
    
    
    Six months ended June 30,Cash Flow Hedging Relationships
    
    2009
    
    
    2008
    
    
    2009
    
    
    2008Interest rate caps (a) (b)
    
    $
    57
    
    
    $
    
    
    
    $
    
    
    
    $
    Interest rate swaps (a)
    
    
    262
    
    
    
    (27
    )
    
    
    
    
    
    
    Foreign currency forward contracts
(a) (c)
    
    
    (142
    )
    
    
    
    
    
    
    27
    
    
    
    Total
    
    $
    177
    
    
    $
    (27
    )
    
    $
    27
    
    
    $
    
 (a)
    
    During the three and six months ended June 30, 2009 and 2008, no gains or losses were
reclassified from OCI into income related to ineffective portions of hedging relationships or
to amounts excluded from effectiveness testing. CPA ® :16  Global 6/30/2009 10-Q 15




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##### Table of Contents



Notes to Consolidated Financial Statements
 (b)
    
    Includes gains attributable to noncontrolling interests totaling less than $0.1 million for
the three and six months ended June 30, 2009, respectively. We obtained this interest rate cap
in March 2009.(c)
    
    Gains (losses) reclassified from OCI into income are included in Other income and expenses. Amount of Gain (Loss) Recognized in Income on DerivativesDerivatives not in SFAS 133
    
    Location of Gain
    
    Three months ended June 30,
    
    
    Six months ended June 30,Cash Flow Hedging Relationships
    
    Recognized in Income
    
    2009
    
    
    2008
    
    
    2009
    
    
    2008Embedded credit derivatives (a)
    
    Other income and expenses
    
    $
    446
    
    
    $
    (188
    )
    
    $
    1,094
    
    
    $
    1,220Stock warrants
    
    Other income and expenses
    
    
    257
    
    
    
    202
    
    
    
    256
    
    
    
    229Total
    
    
    
    $
    703
    
    
    $
    14
    
    
    $
    1,350
    
    
    $
    1,449
 (a)
    
    Includes gains (losses) attributable to noncontrolling interests totaling $0.3 million and
$(0.1) million for the three months ended June 30, 2009 and 2008, respectively and $0.8
million and $0.9 million for the six months ended June 30, 2009 and 2008, respectively.  Interest Rate Caps and Swaps
   Notional
    
    
    Effective
    
    
    Effective
    
    
    Expiration
    
    
    Fair Value atType
    
    Amount
    
    
    Interest Rate
    
    
    Date
    
    
    Date
    
    
    June 30, 20091-Month LIBOR
    
    Interest rate cap (a)
    
    $
    29,000
    
    
    
    5.0
    %
    
    
    3/2009
    
    
    
    3/2012
    
    
    $
    811-Month LIBOR
    
    Pay-fixed swap
    
    
    4,000
    
    
    
    6.7
    %
    
    
    2/2008
    
    
    
    2/2018
    
    
    
    (258
    )$
    (177
    )
 (a)
    
    In February 2009, a venture in which we own a 50% interest, and which we consolidate, repaid
a $39.0 million outstanding balance on a non-recourse mortgage loan at a discount for $32.5
million and recognized a corresponding gain of $6.5 million. In connection with this
transaction, the venture obtained new non-recourse mortgage financing of approximately $29.0
million. The new debt has an annual interest rate of LIBOR plus 5%, with a minimum rate of 6%
and a maximum rate that has been capped at 10% through the use of an interest rate cap. This
financing has a term of three years, with two one-year extensions. The applicable interest
rate of the related debt was 6% at June 30, 2009, and therefore the interest rate cap was not
in effect at that date.  CPA ® :16  Global 6/30/2009 10-Q 16




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##### Table of Contents



Notes to Consolidated Financial Statements
 Foreign Currency Forward Contracts
   Embedded Credit Derivatives
  Stock Warrants
  Other
   Portfolio Concentration Risk
   CPA ® :16  Global 6/30/2009 10-Q 17




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##### Table of Contents



Notes to Consolidated Financial Statements
   Note 9. Noncontrolling Interests
   CPA®:16  Global
    
    
    NoncontrollingTotal
    
    
    Shareholders
    
    
    InterestsBalance at January 1, 2008
    
    $
    1,094,653
    
    
    $
    1,021,097
    
    
    $
    73,556Shares issued
    
    
    44,633
    
    
    
    44,633
    
    
    
    Contributions
    
    
    24,396
    
    
    
    
    
    
    
    24,396Net income
    
    
    20,601
    
    
    
    20,262
    
    
    
    339Distributions
    
    
    (87,842
    )
    
    
    (79,719
    )
    
    
    (8,123
    )Change in other comprehensive
income (loss)
    
    
    (33,224
    )
    
    
    (29,765
    )
    
    
    (3,459
    )Shares repurchased
    
    
    (16,612
    )
    
    
    (16,612
    )
    
    
    Balance at January 1, 2009
    
    
    1,046,605
    
    
    
    959,896
    
    
    
    86,709Shares issued
    
    
    22,407
    
    
    
    22,407
    
    
    
    Contributions
    
    
    2,786
    
    
    
    
    
    
    
    2,786Net income
    
    
    3,131
    
    
    
    (2,296
    )
    
    
    5,427Distributions
    
    
    (49,240
    )
    
    
    (40,401
    )
    
    
    (8,839
    )Change in other comprehensive
income (loss)
    
    
    (342
    )
    
    
    (700
    )
    
    
    358Shares repurchased
    
    
    (20,409
    )
    
    
    (20,409
    )
    
    
    Balance at June 30, 2009
    
    $
    1,004,938
    
    
    $
    918,497
    
    
    $
    86,441
 Redeemable Noncontrolling Interests
  CPA ® :16  Global 6/30/2009 10-Q 18




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##### Table of Contents



Notes to Consolidated Financial Statements
  Balance at January 1, 2008
    
    $
    346,718Foreign currency translation adjustment
    
    
    (14,877
    )Balance at January 1, 2009
    
    
    331,841Foreign currency translation adjustment
    
    
    (1,153
    )Balance at June 30, 2009
    
    $
    330,688
 Note 10. Income Taxes
     Note 11. Subsequent Events
    CPA ® :16  Global 6/30/2009 10-Q 19




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##### Table of Contents



Notes to Consolidated Financial Statements
    CPA ® :16  Global 6/30/2009 10-Q 20




---



##### Table of Contents



Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
  Business Overview
  Financial Highlights
 Three months ended June 30,
    
    
    Six months ended June 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Total revenues
    
    $
    59,512
    
    
    $
    61,678
    
    
    $
    116,925
    
    
    $
    117,936Net income (loss) attributable to
CPA®:16 - Global
shareholders(a)
    
    
    5,349
    
    
    
    7,833
    
    
    
    (2,296
    )
    
    
    13,645Cash flow from operating activities
    
    
    
    
    
    
    
    
    
    
    57,629
    
    
    
    58,645
 
 (a)
    
    Net income (loss) attributable to CPA®:16  Global shareholders for the three and
six months ended June 30, 2009 reflected the recognition of impairment charges totaling $5.1
million and $21.1 million, respectively.   Current Trends
   CPA ® :16  Global 6/30/2009 10-Q 21




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##### Table of Contents

'

Financing Conditions
   Corporate Defaults
    Net Asset Values
  Redemptions
  Other Factors
  CPA ® :16  Global 6/30/2009 10-Q 22




---



##### Table of Contents



Results of Operations
  Six months ended June 30,2009
    
    
    2008Rental income
    
    $
    75,974
    
    
    $
    75,669Interest income from direct financing leases
    
    
    13,597
    
    
    
    14,677$
    89,571
    
    
    $
    90,346
  Six months ended June 30,Lessee
    
    2009
    
    
    2008Hellweg Die Profi-Baumarkte GmbH & Co. KG (Hellweg 2) (a) (b) (c)
    
    $
    17,140
    
    
    $
    19,275Telcordia Technologies, Inc.
    
    
    4,659
    
    
    
    4,600Nordic Cold Storage LLC
    
    
    3,349
    
    
    
    3,111Berry Plastics Corporation (c)
    
    
    3,320
    
    
    
    3,331Fraikin SAS (b)
    
    
    2,845
    
    
    
    3,101The Talaria Company (Hinckley) (c)
    
    
    2,524
    
    
    
    2,480MetoKote Corp., MetoKote Canada Limited and MetoKote de Mexico(b) (d) (e)
    
    
    2,311
    
    
    
    2,050International Aluminum Corp. and United States Aluminum of Canada Ltd. (b)
    
    
    2,246
    
    
    
    2,183Huntsman International, LLC
    
    
    2,003
    
    
    
    2,003Best Brands Corp. (f)
    
    
    1,980
    
    
    
    1,136Ply Gem Industries, Inc. (b)
    
    
    1,914
    
    
    
    1,905LFD Manufacturing Ltd., IDS Logistics (Thailand) Ltd. and IDS Manufacturing SDN BHD (b)
    
    
    1,887
    
    
    
    2,134Gortz & Schiele GmbH & Co. and Goertz & Schiele Corp. (b) (c) (e) (g)
    
    
    1,816
    
    
    
    1,844TRW Vehicle Safety Systems Inc. (e)
    
    
    1,784
    
    
    
    1,784Holopack International Corp.
    
    
    1,777
    
    
    
    1,781Bobs Discount Furniture, LLC
    
    
    1,759
    
    
    
    1,759Foss Manufacturing Company, LLC
    
    
    1,742
    
    
    
    1,742Kings Super Markets Inc.
    
    
    1,708
    
    
    
    1,708Universal Technical Institute of California, Inc.
    
    
    1,700
    
    
    
    1,700Finisar Corporation
    
    
    1,644
    
    
    
    1,632Performance Fibers GmbH(b)
    
    
    1,638
    
    
    
    1,845Dicks Sporting Goods, Inc. (c)
    
    
    1,562
    
    
    
    1,562Willy Voit GmbH & Co. Stanz-und Metallwerk (b) (e)
    
    
    1,312
    
    
    
    1,490Other (b) (d) (e)
    
    
    24,951
    
    
    
    24,190$
    89,571
    
    
    $
    90,346
 
 (a)
    
    We also own an equity investment in other properties leased to this tenant through a 2005
transaction.(b)
    
    Amounts are subject to fluctuations in foreign currency exchange rates. The average rate for
the U.S. dollar in relation to the Euro during the six months ended June 30, 2009 strengthened
by approximately 13% in comparison to the same period in 2008, resulting in a negative impact
on lease revenues for our Euro-denominated investments in the current year period. CPA ® :16  Global 6/30/2009 10-Q 23




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##### Table of Contents



(c)
    
    These revenues are generated in consolidated joint ventures, generally with affiliates, and
include lease revenues applicable to noncontrolling interests totaling $20.0 million and $20.6
million for the six months ended June 30, 2009 and 2008, respectively.(d)
    
    Increase was due to CPI-based (or equivalent) rent increase.(e)
    
    Tenant operates in the automotive industry. Included in Other are lease revenues from two
additional tenants operating in the automotive industry totaling $1.5 million and $1.7 million
for the six months ended June 30, 2009 and 2008, respectively.(f)
    
    We acquired our interest in this investment during 2008.(g)
    
    Gortz & Schiele GmbH & Co. filed for bankruptcy in Germany in November 2008 and ceased making
rent payments. In July 2009, as a result of both Gortz & Schiele GmbH & Co. and Gortz &
Schiele Corp.s noncompliance with the terms of their leases, the venture suspended debt
service payments on both of the related mortgages, which have a combined outstanding balance
of $23.1 million at June 30, 2009.  Ownership Interest at
    
    
    Six months ended June 30,Lessee
    
    June 30, 2009
    
    
    2009
    
    
    2008U-Haul Moving Partners, Inc. and Mercury Partners, L.P.
    
    
    31
    %
    
    $
    14,258
    
    
    $
    14,193The New York Times Company (a)
    
    
    27
    %
    
    
    8,401
    
    
    
    OBI A.G. (b)
    
    
    25
    %
    
    
    8,031
    
    
    
    8,955Hellweg Die Profi-Baumarkte GmbH & Co. KG (Hellweg 1) (b)
    
    
    25
    %
    
    
    7,072
    
    
    
    7,884Thales S.A. (b) (e)
    
    
    35
    %
    
    
    6,848
    
    
    
    7,407Pohjola Non-life Insurance Company (b)
    
    
    40
    %
    
    
    4,424
    
    
    
    4,860TietoEnator Plc(b)
    
    
    40
    %
    
    
    4,111
    
    
    
    4,546Police Prefecture, French Government (b)
    
    
    50
    %
    
    
    3,761
    
    
    
    4,124Schuler A.G. (b)
    
    
    33
    %
    
    
    3,121
    
    
    
    3,514Frontier Spinning Mills, Inc. (c)
    
    
    40
    %
    
    
    2,230
    
    
    
    Actebis Peacock GmbH (b) (c)
    
    
    30
    %
    
    
    1,981
    
    
    
    Lindenmaier A.G. (b) (d)
    
    
    33
    %
    
    
    1,256
    
    
    
    1,389Consolidated Systems, Inc.
    
    
    40
    %
    
    
    911
    
    
    
    911Actuant Corporation (b)
    
    
    50
    %
    
    
    884
    
    
    
    985$
    67,289
    
    
    $
    58,768
 
 (a)
    
    We acquired our interest in this investment in March 2009.(b)
    
    Revenue amounts are subject to fluctuations in foreign currency exchange rates.(c)
    
    We acquired our interest in this investment during 2008.(d)
    
    Tenant operates in the automotive industry and is operating under bankruptcy protection.(e)
    
    The venture sold four of the five properties leased to Thales
in July 2009 (see Subsequent Events below).  Lease Revenues
  CPA ® :16  Global 6/30/2009 10-Q 24




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##### Table of Contents



Interest Income on Notes Receivable
  Property Expenses
  General and Administrative
  Impairment Charges
  Income from Equity Investments in Real Estate
   Other Interest Income
  Gain on Extinguishment of Debt
  Other Income and Expenses
  CPA ® :16  Global 6/30/2009 10-Q 25




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##### Table of Contents



Interest Expense
  Net Income (Loss) Attributable to CPA ® :16  Global Shareholders
 ® ® ®
 Financial Condition
 Sources and Uses of Cash During the Period
  Operating Activities
  Investing Activities
  CPA ® :16  Global 6/30/2009 10-Q 26




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##### Table of Contents



Financing Activities
   Summary of Financing
  June 30, 2009
    
    
    December 31, 2008BalanceFixed rate
    
    $
    1,362,783
    
    
    $
    1,406,926Variable rate (a)
    
    
    60,000
    
    
    
    31,300Total
    
    $
    1,422,783
    
    
    $
    1,438,226Percent of total debtFixed rate
    
    
    96
    %
    
    
    98
    %Variable rate (a)
    
    
    4
    %
    
    
    2
    %100
    %
    
    
    100
    %Weighted average interest rate at end of periodFixed rate
    
    
    5.9
    %
    
    
    5.9
    %Variable rate (a)
    
    
    5.7
    %
    
    
    5.4
    %
 
 (a)
    
    Variable rate debt at June 30, 2009 included (i) $3.9 million that has been effectively
converted to fixed rates through interest rate swap derivative instruments, (ii) $29.0 million
that is subject to an interest rate cap, but for which the interest rate cap was not in effect
at June 30, 2009 and (iii) $27.1 million in mortgage obligations that bore interest at fixed
rates but that have interest rate reset features that may change the interest rates to
then-prevailing market fixed rates at certain points during their term. No interest rate
resets or expirations of interest rate swaps are scheduled to occur during the next twelve
months. Cash Resources
   CPA ® :16  Global 6/30/2009 10-Q 27




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##### Table of Contents



Cash Requirements
  Off-Balance Sheet Arrangements and Contractual Obligations
  Less than
    
    
    
    
    
    
    
    
    
    
    More thanTotal
    
    
    1 year
    
    
    13 years
    
    
    35 years
    
    
    5 yearsNon-recourse debt  Principal
    
    $
    1,422,783
    
    
    $
    20,995
    
    
    $
    79,641
    
    
    $
    75,337
    
    
    $
    1,246,810Deferred acquisition fees  Principal
    
    
    7,979
    
    
    
    5,933
    
    
    
    2,046
    
    
    
    
    
    
    
    Interest on borrowings and deferred acquisition
fees (a)
    
    
    655,101
    
    
    
    83,587
    
    
    
    162,165
    
    
    
    152,420
    
    
    
    256,929Build-to-suit commitments (b)
    
    
    5,320
    
    
    
    5,320
    
    
    
    
    
    
    
    
    
    
    
    Lending commitments (c)
    
    
    23,224
    
    
    
    23,224
    
    
    
    
    
    
    
    
    
    
    
    Operating and other lease commitments (d)
    
    
    59,013
    
    
    
    1,744
    
    
    
    3,539
    
    
    
    3,590
    
    
    
    50,140$
    2,173,420
    
    
    $
    140,803
    
    
    $
    247,391
    
    
    $
    231,347
    
    
    $
    1,553,879
 
 (a)
    
    Interest on an unhedged variable rate debt obligation was calculated using the applicable
annual variable interest rate and balance outstanding as of June 30, 2009.(b)
    
    Represents remaining build-to-suit commitment for a domestic project. Estimated total
construction costs for the project are currently projected to be $5.3 million, of which none
was funded as of June 30, 2009.(c)
    
    Represents unfunded amounts on an ADC equity arrangement and a commitment to provide a loan
to a developer of a domestic property. The total commitments for the ADC equity arrangement
and the loan are $62.5 million and $15.8 million, respectively, of which $43.1 million and
$12.0 million had been funded as of June 30, 2009, respectively.(d)
    
    Operating and other lease commitments consist primarily of rent obligations under ground
leases and our share of future minimum rents payable under an office cost-sharing agreement
with certain affiliates for the purpose of leasing office space used for the administration of
real estate entities. Amounts under the cost-sharing agreement are allocated among the
entities based on gross revenues and are adjusted quarterly. Rental obligations under ground
leases are inclusive of noncontrolling interests of approximately $9.2 million.   CPA ® :16  Global 6/30/2009 10-Q 28




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##### Table of Contents



Ownership Interest
    
    
    
    
    
    
    Total ThirdLessee
    
    at June 30, 2009
    
    
    Total Assets
    
    
    Party Debt
    
    
    Maturity DateThales S.A.
(a) (d)
    
    
    35
    %
    
    $
    53,017
    
    
    $
    74,598
    
    
    
    7/2011U-Haul Moving Partners, Inc. and Mercury Partners,
L.P.
    
    
    31
    %
    
    
    314,097
    
    
    
    166,282
    
    
    
    5/2014Actuant Corporation (a)
    
    
    50
    %
    
    
    16,192
    
    
    
    11,925
    
    
    
    5/2014TietoEnator Plc(a)
    
    
    40
    %
    
    
    117,807
    
    
    
    75,121
    
    
    
    7/2014Pohjola Non-life Insurance Company (a)
    
    
    40
    %
    
    
    55,821
    
    
    
    84,573
    
    
    
    1/2015Hellweg Die Profi-Baumarkte GmbH & Co. KG (Hellweg
1) (a)
    
    
    25
    %
    
    
    180,023
    
    
    
    111,067
    
    
    
    5/2015Actebis Peacock GmbH (a)
    
    
    30
    %
    
    
    52,814
    
    
    
    31,657
    
    
    
    7/2015Consolidated Systems, Inc.
    
    
    40
    %
    
    
    17,671
    
    
    
    11,618
    
    
    
    11/2016Lindenmaier A.G. (a)
    
    
    33
    %
    
    
    30,212
    
    
    
    12,467
    
    
    
    10/2017OBI A.G. (a)
    
    
    25
    %
    
    
    206,260
    
    
    
    169,326
    
    
    
    3/2018Police Prefecture, French Government (a)
    
    
    50
    %
    
    
    119,880
    
    
    
    89,223
    
    
    
    8/2020The New York Times Company (b)
    
    
    27
    %
    
    
    242,476
    
    
    
    
    
    
    
    N/ASchuler A.G. (a)
    
    
    33
    %
    
    
    74,930
    
    
    
    
    
    
    
    N/AFrontier Spinning Mills, Inc.
    
    
    40
    %
    
    
    41,490
    
    
    
    
    
    
    
    N/ASoho House Beach House LLC (c)
    
    
    N/A
    
    
    
    62,200
    
    
    
    
    
    
    
    N/A$
    1,584,890
    
    
    $
    837,857
 
 (a)
    
    Dollar amounts are based on the applicable exchange rate of the foreign currency as of
June 30, 2009.(b)
    
    We acquired our interest in this investment in
March 2009.(c)
    
    We account for this investment under the equity method of accounting as it constitutes an ADC
equity arrangement.(d)
    
    The venture sold four of the five properties leased to Thales
in July 2009 (see Subsequent Events below). Subsequent Events
   CPA ® :16  Global 6/30/2009 10-Q 29




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##### Table of Contents



CPA ® :16  Global 6/30/2009 10-Q 30




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##### Table of Contents



Item 3. Quantitative and Qualitative Disclosures About Market Risk
 Market Risks
   Interest Rate Risk
      2009
    
    
    2010
    
    
    2011
    
    
    2012
    
    
    2013
    
    
    Thereafter
    
    
    Total
    
    
    Fair valueFixed rate debt
    
    $
    10,108
    
    
    $
    21,737
    
    
    $
    25,171
    
    
    $
    27,224
    
    
    $
    30,379
    
    
    $
    1,248,164
    
    
    $
    1,362,783
    
    
    $
    1,137,814Variable rate debt
    
    $
    206
    
    
    $
    415
    
    
    $
    420
    
    
    $
    29,426
    
    
    $
    431
    
    
    $
    29,102
    
    
    $
    60,000
    
    
    $
    56,505
 CPA ® :16  Global 6/30/2009 10-Q 31




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##### Table of Contents



Foreign Currency Exchange Rate Risk
    Other
  CPA ® :16  Global 6/30/2009 10-Q 32




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##### Table of Contents



Item 4T. Controls and Procedures
 Disclosure Controls and Procedures
   Changes in Internal Control over Financial Reporting
  
 PART II
 
 Item 2. Unregistered Sales of Equity Securities
   Issuer Purchases of Equity Securities:
 Maximum number (orTotal number of shares
    
    
    approximate dollar value)purchased as part of
    
    
    of shares that may yet beTotal number of
    
    
    Average price
    
    
    publicly announced
    
    
    purchased under the2009 Period
    
    shares purchased (a)
    
    
    paid per share
    
    
    plans or programs (a)
    
    
    plans or programs (a)April
    
    
    3,341
    
    
    $
    9.11
    
    
    
    N/A
    
    
    
    N/AMay
    
    
    
    
    
    
    
    
    
    
    N/A
    
    
    
    N/AJune
    
    
    992,545
    
    
    
    9.11
    
    
    
    N/A
    
    
    
    N/ATotal
    
    
    995,886
 
 (a)
    
    Represents shares of our common stock purchased pursuant to our redemption plan. In December
2003, we announced a redemption plan under which we may elect to redeem shares at the request
of our shareholders, subject to certain conditions and limitations. The maximum amount of
shares purchasable by us in any period depends on a number of factors and is at the discretion
of our board of directors. The redemption plan will terminate if and when our shares are
listed on a national securities market. CPA ® :16  Global 6/30/2009 10-Q 33




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##### Table of Contents



Item 4. Submission of Matters to a Vote of Security Holders
  Name of Director
    
    Shares Voting For
    
    Shares WithheldWm. Polk Carey
    
    
    62,754,030
    
    
    
    1,371,201Elizabeth P. Munson
    
    
    62,819,950
    
    
    
    1,305,281Richard J. Pinola
    
    
    62,843,728
    
    
    
    1,281,503
  
 Item 6. Exhibits
 Exhibit No.
    
    Description
    
    Method of Filing3.2
    
    
    Amended and Restated Bylaws
    
    Filed herewith31.1
    
    
    Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
    
    Filed herewith31.2
    
    
    Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
    
    Filed herewith32
    
    
    Certifications of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of
the Sarbanes-Oxley Act of 2002
    
    Filed herewith
 CPA ® :16  Global 6/30/2009 10-Q 34




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##### Table of Contents



SIGNATURES
  Corporate Property Associates 16  Global IncorporatedDate 8/14/2009
    By:
    /s/ Mark J. DeCesarisMark J. DeCesarisManaging Director and Acting Chief Financial Officer
(Principal Financial Officer)Date 8/14/2009
    By:
    /s/ Thomas J. Ridings, Jr.Thomas J. Ridings, Jr.Executive Director and Chief Accounting Officer
(Principal Accounting Officer) CPA ® :16  Global 6/30/2009 10-Q 35




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##### Table of Contents



EXHIBIT INDEX
 Exhibit No.
    
    Description
    
    Method of Filing3.2
    
    
    Amended and Restated Bylaws
    
    Filed herewith31.1
    
    
    Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
    
    Filed herewith31.2
    
    
    Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
    
    Filed herewith32
    
    
    Certifications of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of
the Sarbanes-Oxley Act of 2002
    
    Filed herewith