Our consolidated ratios of earnings to fixed charges and earnings to combined fixed charges and preference distributions for each of the fiscal years ended December 31, 2008, 2007, 2006, 2005 and 2004 are as follows:

	Year Ended December 31,
(Amounts in thousands)	2008			2007			2006			2005			2004
Net income from continuing operations	$	193,203		$	484,423		$	603,339		$	559,081		$	603,596
Fixed charges		698,740			661,620			432,953			305,881			247,569
Income distributions from partially owned entities		44,690			24,044			35,911			40,152			16,740
Capitalized interest		(63,063	)		(53,648	)		(26,195	)		(15,582	)		(8,718	)

Earnings - Numerator	$	873,570		$	1,116,439		$	1,046,008		$	889,532		$	859,187

Interest and debt expense	$	625,904		$	599,804		$	400,540		$	284,876		$	233,750
Capitalized interest		63,063			53,648			26,195			15,582			8,718
1/3 of rental expense – interest factor		9,773			8,168			6,218			5,423			5,101
Fixed charges - Denominator		698,740			661,620			432,953			305,881			247,569
Preferred unit distributions		76,834			77,009			80,518			97,232			97,198
Combined fixed charges and preference distributions - Denominator	$	775,574		$	738,629		$	513,471		$	403,113		$	344,767

Ratio of earnings to fixed charges		1.25	⁽¹⁾		1.69			2.42			2.91			3.47
Ratio of earnings to combined fixed charges and preference distributions		1.12	⁽¹⁾		1.51			2.04			2.21			2.49

Earnings equals (i) income from continuing operations before income taxes and income from partially owned entities, plus, (ii) fixed charges, (iii) income distributions from partially owned entities, minus (iv) capitalized interest. Fixed charges equals (i) interest and debt expense, plus (ii) capitalized interest, (iii) the portion of operating lease rental expense that is representative of the interest factor, which is one-third of operating lease rentals and (iv) preferred unit distributions. Combined fixed charges and preference distributions equals fixed charges plus preferred unit distributions.