EX-12.1 2 a2q14-ex121.htm RATIO OF EARNINGS TO FIXED CHARGES 2Q14 - EX 12.1


EXHIBIT 12.1
ALEXANDRIA REAL ESTATE EQUITIES, INC.
COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES
COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS TO COMBINED FIXED
CHARGES AND PREFERRED STOCK DIVIDENDS
(in thousands, except ratios)
 
 
Six Months Ended June 30, 2014
 
Year Ended December 31, (a)
 
 
 
 
2013
 
2012
 
2011
 
2010
 
2009
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income from continuing operations before noncontrolling interests (b)
 
$
77,174

 
$
139,349

 
$
96,712

 
$
117,316

 
$
122,038

 
$
120,248

 
Add: Interest expense
 
36,556

 
67,952

 
69,184

 
63,373

 
66,341

 
77,165

 
Subtract: Noncontrolling interests in income of subsidiaries that have not incurred fixed charges
 
(2,168
)
 
(954
)
 
(955
)
 
(1,323
)
 
(1,156
)
 
(1,217
)
 
Earnings available for fixed charges (c)
 
$
111,562

 
$
206,347

 
$
164,941

 
$
179,366

 
$
187,223

 
$
196,196


 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest incurred
 
$
59,735

 
$
128,038

 
$
131,424

 
$
120,610

 
$
132,345

 
$
148,207

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Preferred stock dividends
 
12,943

 
25,885

 
27,328

 
28,357

 
28,357

 
28,357

 
Preferred stock redemption charge
 
—

 
—

 
5,978

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total combined fixed charges and preferred stock dividends
 
$
72,678

 
$
153,923

 
$
164,730

 
$
148,967

 
$
160,702

 
$
176,564

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Consolidated ratio of earnings to fixed charges
 
1.87

 
1.61

 
1.26

(d) 
1.49


1.41

(e) 
1.32

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Consolidated ratio of earnings to combined fixed charges and preferred stock dividends
 
1.54

 
1.34

 
1.00

(d) 
1.20

 
1.17

(e) 
1.11

 

(a)
Amounts disclosed for prior periods have been reclassified to conform to the current period presentation related to discontinued operations.

(b)
Includes gains on sales of land parcels that are not attributable to discontinued operations.

(c)
For purposes of calculating the consolidated ratio of earnings to fixed charges and consolidated ratio of earnings to combined fixed charges and preferred stock dividends, earnings consist of income from continuing operations before noncontrolling interests and interest expense less noncontrolling interests in income of subsidiaries that have not incurred fixed charges. Fixed charges consist of interest incurred (including amortization of deferred financing costs and capitalized interest).

(d)
Ratios for the year ended December 31, 2012, include the effect of losses on early extinguishment of debt aggregating $2.2 million, a preferred stock redemption charge of $6.0 million, impairment of land parcel of $2.1 million, and impairment of real estate of $11.4 million. Excluding the impact of losses on early extinguishment of debt, the preferred stock redemption charge, impairment of land parcel, and the impairment of real estate, the consolidated ratio of earnings to fixed charges and consolidated ratio of earnings to combined fixed charges and preferred stock dividends for the year ended December 31, 2012, were 1.42 and 1.13, respectively.

(e)
Ratios for the year ended December 31, 2010, include the effect of loss on early extinguishment of debt aggregating $45.2 million. Excluding the impact of loss on early extinguishment of debt, the consolidated ratio of earnings to fixed charges and the consolidated ratio of earnings to combined fixed charges and preferred stock dividends for the year ended December 31, 2010, were 1.76 and 1.45, respectively.