The December 31, 2015 audited consolidated financial statements of the REIT and its Subsidiaries, and their unaudited financial statements dated as of June 30, 2016, heretofore delivered to the Lenders were prepared in accordance with GAAP as in effect on the date such statements were prepared and fairly present in all material respects the consolidated financial condition and operations of the REIT and its Subsidiaries at such date and the consolidated results of their operations for the period then ended.