Eric McPhee

Digital Realty Trust, Inc.

We note that your measures Core FFO and Adjusted EBITDA contain adjustments for other non-core items. Please tell us what types of revenues or expenses are being added back, and to the extent that these are significant to the non-GAAP measure in future filings, please provide further explanation within your disclosure.

Andrew Power, President & Chief Executive Officer

Unaudited and in thousands, except per share data

Reconciliation of Net Income to Funds From Operations (FFO)

Net Income / (Loss) Available to Common Stockholders

Adjustments:

Non-controlling interest in operating partnership

Real estate related depreciation & amortization ⁽¹⁾

Reconciling items related to non-controlling interests

Unconsolidated JV real estate related depreciation & amortization

(Gain) / loss on real estate transactions

Provision for impairment

Funds From Operations

Weighted-average shares and units outstanding - basic

Weighted-average shares and units outstanding - diluted ^{(2) (3)}

Funds From Operations per share - basic

Funds From Operations per share - diluted ^{(2) (3)}

Reconciliation of FFO to Core FFO

Funds From Operations

Other non-core revenue adjustments ⁽⁴⁾

Transaction and integration expenses

Loss from early extinguishment of debt

Severance, equity acceleration and legal expenses ⁽⁵⁾

(Gain) / Loss on FX revaluation

Other non-core expense adjustments ⁽⁶⁾

Core Funds From Operations

Weighted-average shares and units outstanding - diluted ^{(2) (3)}

Core Funds From Operations per share - diluted ⁽²⁾

Real Estate Related Depreciation & Amortization

Depreciation & amortization per income statement

Non-real estate depreciation

Real Estate Related Depreciation & Amortization

Certain of Teraco’s minority indirect shareholders have the right to put their shares in an upstream parent company of Teraco to Digital Realty in exchange for cash or the equivalent value of shares of Digital Realty common stock, or a combination thereof. US GAAP requires Digital Realty to assume the put right is settled in shares for purposes of calculating diluted EPS. This same approach was utilized to calculate FFO/share. The potential future dilutive impact associated with this put right will be excluded from Core FFO and AFFO until settlement occurs – causing diluted share count to be higher for FFO than for Core FFO and AFFO. When calculating diluted FFO, Teraco related minority interest is added back to the FFO numerator as the denominator assumes all shares have been put back to Digital Realty.

Teraco noncontrolling share of FFO

Teraco related minority interest

For all periods presented, we have excluded the effect of dilutive series J, series K and series L preferred stock, as applicable, that may be converted into common stock upon the occurrence of specified change in control transactions as described in the articles supplementary governing the series J, series K and series L preferred stock, as applicable, which we consider highly improbable. See above for calculations of FFO and the share count detail section that follows the reconciliation of Core FFO to AFFO for calculations of weighted average common stock and units outstanding. For definitions and discussion of FFO and Core FFO, see the Definitions section.

Includes deferred rent adjustments related to a customer bankruptcy, joint venture development fees included in gains and lease termination fees.

Relates to severance and other charges related to the departure of company executives and integration-related severance.

Includes write-offs associated with bankrupt or terminated customers, non-recurring legal expenses and adjustments to reflect our proportionate share of transaction costs associated with noncontrolling interests.

Reconciliation of Earnings Before Interest, Taxes,

Depreciation & Amortization (EBITDA) ⁽¹⁾

Net Income / (Loss) Available to Common Stockholders

Interest

Loss from early extinguishment of debt

Income tax expense (benefit)

Depreciation & amortization

EBITDA

Unconsolidated JV real estate related depreciation & amortization

Unconsolidated JV interest expense and tax expense

Severance, equity acceleration and legal expenses

Transaction and integration expenses

(Gain) / loss on sale of investments

Provision for impairment

Other non-core adjustments, net ⁽²⁾

Non-controlling interests

Preferred stock dividends

Adjusted EBITDA

For definitions and discussion of EBITDA and Adjusted EBITDA, see the Definitions section.

Includes foreign exchange net unrealized gains/losses attributable to remeasurement, deferred rent adjustments related to a customer bankruptcy, write-offs associated with bankrupt or terminated customers, non-recurring legal expenses, gain on sale of land option and lease termination fees.