Attached files
Exhibit 12.1
COLONIAL PROPERTIES TRUST
Ratio of Earnings to Fixed Charges and Ratio of Earnings to
Combined Fixed Charges and Preferred Share Distributions
Combined Fixed Charges and Preferred Share Distributions
For the Years Ended December 31, | ||||||||||||||||||||
(all dollar amounts in thousands) | 2009 | 2008 | 2007 | 2006 | 2005 | |||||||||||||||
Earnings: |
||||||||||||||||||||
Pre-tax (loss) income from continuing operations before adjustment
for income or loss from equity investees, or gain on the sale of properties |
||||||||||||||||||||
$ | (1,690 | ) | $ | (95,254 | ) | $ | (64,836 | ) | $ | (12,071 | ) | $ | (38,405 | ) | ||||||
Amortization of interest capitalized |
3,780 | 3,100 | 3,392 | 3,252 | 2,709 | |||||||||||||||
Interest capitalized |
(3,870 | ) | (25,032 | ) | (27,105 | ) | (17,063 | ) | (9,586 | ) | ||||||||||
Distributed income of equity investees |
11,601 | 13,344 | 13,207 | 9,370 | 3,942 | |||||||||||||||
Preference security dividend requirements of consolidated subsidiaries |
(7,250 | ) | (7,251 | ) | (7,250 | ) | (7,250 | ) | (7,251 | ) | ||||||||||
Fixed charges |
103,106 | 107,253 | 130,246 | 158,676 | 155,029 | |||||||||||||||
Total earnings |
$ | 105,677 | $ | (3,840 | ) | $ | 47,654 | $ | 134,914 | $ | 106,438 | |||||||||
Fixed Charges: |
||||||||||||||||||||
Interest expense |
87,023 | 69,951 | 89,105 | 127,779 | 132,493 | |||||||||||||||
Capitalized interest |
3,870 | 25,032 | 27,105 | 17,063 | 9,586 | |||||||||||||||
Debt costs amortization |
4,963 | 5,019 | 6,786 | 6,584 | 5,699 | |||||||||||||||
Distributions to Series B preferred unitholders |
7,250 | 7,251 | 7,250 | 7,250 | 7,251 | |||||||||||||||
Total Fixed Charges |
$ | 103,106 | $ | 107,253 | $ | 130,246 | $ | 158,676 | $ | 155,029 | ||||||||||
Distributions to Series A, Series C, Series D and Series E preferred shareholders |
8,142 | 8,773 | 13,439 | 20,902 | 22,391 | |||||||||||||||
Combined Fixed Charges and Preferred Share Distributions |
$ | 111,248 | $ | 116,026 | $ | 143,685 | $ | 179,578 | $ | 177,420 | ||||||||||
Ratio of Earnings to Fixed Charges |
1.0 | (a | ) | (a | ) | (a | ) | (a | ) | |||||||||||
Ratio of Earnings to Combined Fixed Charges and Preferred
Share Distributions |
(b | ) | (b | ) | (b | ) | (b | ) | (b | ) | ||||||||||
a) | For the years ended December 31, 2008, 2007, 2006 and 2005, the aggregate amount of fixed charges exceeded our earnings by approximately $111.1 million, $82.6 million, $23.8 million and $48.6 million, respectively, which is the amount of additional earnings that would have been required to achieve a ratio of earnings to fixed charges of 1.0x for such period. The deficiency of the ratio of earnings to fixed charges for all years presented is impacted by the classification of operations for assets held for sale and sold as discontinued operations. The deficiency of the ratio of earnings to fixed charges for the year ended December 31, 2008 is also due to the $116.9 million non-cash impairment charge related to the Companys for-sale residential business and certain development projects. The deficiency of the ratio of earnings to fixed charges for the year ended December 31, 2007 is also due to the $43.3 million non-cash impairment charge related to the Companys for-sale residential business. The deficiency of the ratio of earnings to fixed charges for the year ended December 31, 2005, is also impacted by amortization of intangible assets acquired in the merger with Cornerstone Realty Income Trust. | |
b) | For the years ended December 31, 2009, 2008, 2007, 2006 and 2005 the aggregate amount of fixed charges and preferred share distributions exceeded our earnings by approximately $5.6 million, $119.9 million, $96.0 million, $44.7 million and $71.0 million, respectively, which is the amount of additional earnings that would have been required to achieve a ratio of earnings to fixed charges of 1.0x for such period. The deficiency of the ratio of earnings to fixed charges for all periods presented is impacted by the classification of operations for assets held for sale and sold as discontinued operations. The deficiency of the ratio of earnings to fixed charges for the year ended December 31, 2008 is also due to the $116.9 million non-cash impairment charge related to the Companys for-sale residential business and certain development projects. The deficiency of the ratio of earnings to fixed charges for the year ended December 31, 2007 is also due to the $43.3 million non-cash impairment charge related to the Companys for-sale residential business. For the year ended December 31, 2005, the deficiency is also a result of the Company recording amortization expense of approximately $42.0 million related to intangible assets acquired in the Cornerstone merger. |
The ratios of earnings to fixed charges were computed by dividing earnings by fixed charges. For
this purpose, earnings consist of pre-tax income from continuing operations before adjustment for
noncontrolling interest in consolidated subsidiaries or income or loss from equity investees, gains
on sale of properties, distributed income of equity investees, fixed charges and amortization of
capitalized interest excluding interest costs capitalized. Fixed charges consist of interest
expense (including interest costs capitalized) and amortization of debt issuance costs.